Charge-Off CC Question

Anonymous · ‎03-25-2011

I settled for 50% on my bofa cc and I am just waiting for them to update my account. Because of them my util is stating 92% so when they finally say my balance is 0, does that mean that the $5000 limit credit card had would still be counted towards my utilization. For example, I have a $200 secured cap1 and I'm on my husbands $500 Cap1, would my utilization be $5000+$500+$200 or just $500+$200.

Also does anyone know what date Cap1 reports to the agencies?

MarineVietVet · ‎03-25-2011

@Anonymous wrote:
I settled for 50% on my bofa cc and I am just waiting for them to update my account. Because of them my util is stating 92% so when they finally say my balance is 0, does that mean that the $5000 limit credit card had would still be counted towards my utilization. For example, I have a $200 secured cap1 and I'm on my husbands $500 Cap1, would my utilization be $5000+$500+$200 or just $500+$200.

Also does anyone know what date Cap1 reports to the agencies?

Once the balance is zero the CL will be removed from calculations so your new CL will be $700.

I believe (could be wrong) that Cap 1 updates to the CRA's within a few days of the statement posting.

From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

RobertEG · ‎03-25-2011

When the OC does a charge-off, the account is closed, and the debt at time of CO is "written-off" on their accounting ledger, giving them a tax break with the IRS.

You cant charge on a closed account. The CL is retained in your credit file and is used for scoring purposes, but is not credit avaialbe to you.

llecs · ‎03-25-2011

Ditto to MarineVietVet. Once the balance hits $0 on your CR, and is marked closed, the CL is forever removed for FICO scoring purposes.

Anonymous · ‎03-26-2011

The settlement offer I receieved says that when I settle they will consider the account settle in full. What does that mean exactly? Will I still have to gw letter to get them to remove the lates.