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I will try to keep this short and sweet. In my early 20's (2005-2007) I was in and out of work and relied on credit cards (which was poor decision making) and ended up tanking myself a bit. When it was all said and done, here is what I ended up with negatively:
1FBUSA $6500 maxed out Defaulted - Paid Settled for less than full (paid in 4/10) - First 30 Day late was in 2006
Les Schwab $540 Chargeoff - Paid in Full 08/10 - First 30 Day late Jan 2007
Crap 1 $400 Collections - Legally paid in full for less than the full balance in 4/10 - First 30 day late was 08/2006
Macy's was past due 30 days 2-3 times closed at customer request paid and closed 6/2007
I know its pretty ugly, but could be worse, could be better. Here is where I currently stand:
4 Student loans all on time totaling $38000
Wells Fargo Auto Loan on time owe $7800
WF Credit Card $6000 limit / bal $60 (pif typically) Perfect history
Express Store Card - Never use it don't even know the limit no lates
No mortgage of any sort
MyFico reports 690
AAoA 5yr 5mo
Income $70k Gross
Main question I would like to address is my Les Schwab Charge off, if I understand correctly, Statute of limitatios says that the account will remain for 7 years from first 30 day late in the course at which the account to becomes charged off. I called LS and they said since I paid it off in 2010 that it will report on my credit til 2017, even though the first late payment was back in January or February of 2007. Are they in the wrong keeping it reporting until 2017, shouldn't it fall off in Jan/Feb of 2014?
Next, I am going to applying for a few more credit cards (not because I need them) to help build credit since I only have one card. I have received offers in the mail for Citi ThankYou, Chase Freedom, Amex (don't remember which one), and a bunch of other not as well known cards. I'm going to app for three cards in the next few weeks, most likely at this point the Citi TY and Chase Freedom, for the hell of it I thought about apping for something on the higher end like perhaps AMEX BCE. Do you guys/gals think the BCE is pointless with the credit history? Any other recommendations of cards that might better fit me? I prefer cash back or travel rewards, but I also understand I've got a long way to go with my credit.
Thanks for any info I get.
Hello, and welcome to the forums! You'll find all kinds of good information and advice here.
The charge-off (CO) will remain on your reports anywhere from 7 - 7.5 years from the date of first delinquency (DOFD), which is the 30 day late that led to the CO. This is a fixed date that is not affected by subsequent payments. So, you are correct. Sometimes people confuse this with the date for the statute of limitations (SOL) on debt, where the clock starts ticking from the time of the last payment, and that might be where the Schwab CSR got confused.
As for credit card recommendations, I'm going to let others chime in.
@FICO_Fighter wrote:I will try to keep this short and sweet. In my early 20's (2005-2007) I was in and out of work and relied on credit cards (which was poor decision making) and ended up tanking myself a bit. When it was all said and done, here is what I ended up with negatively:
1FBUSA $6500 maxed out Defaulted - Paid Settled for less than full (paid in 4/10) - First 30 Day late was in 2006 Without the month can't come up with a exclusion date
Les Schwab $540 Chargeoff - Paid in Full 08/10 - First 30 Day late Jan 2007 June 2014
Crap 1 $400 Collections - Legally paid in full for less than the full balance in 4/10 - First 30 day late was 08/2006 Feb 2014
Macy's was past due 30 days 2-3 times closed at customer request paid and closed 6/2007 No CO or collections so no DoFD. Each late will fall off 7 years from its occurence. When the last one falls off it will become a positive account again and stay for up to 10 years from date closed.
I know its pretty ugly, but could be worse, could be better. Here is where I currently stand:
4 Student loans all on time totaling $38000
Wells Fargo Auto Loan on time owe $7800
WF Credit Card $6000 limit / bal $60 (pif typically) Perfect history
Express Store Card - Never use it don't even know the limit no lates
No mortgage of any sort
MyFico reports 690
AAoA 5yr 5mo
Income $70k Gross
Main question I would like to address is my Les Schwab Charge off, if I understand correctly, Statute of limitatios says that the account will remain for 7 years from first 30 day late in the course at which the account to becomes charged off. I called LS and they said since I paid it off in 2010 that it will report on my credit til 2017, even though the first late payment was back in January or February of 2007. Are they in the wrong keeping it reporting until 2017, shouldn't it fall off in Jan/Feb of 2014? It is acutally 7 years plus 180 days. However the CRAs tend to exlude them at the 7 year mark though they don't have to.
Next, I am going to applying for a few more credit cards (not because I need them) to help build credit since I only have one card. I have received offers in the mail for Citi ThankYou, Chase Freedom, Amex (don't remember which one), and a bunch of other not as well known cards. I'm going to app for three cards in the next few weeks, most likely at this point the Citi TY and Chase Freedom, for the hell of it I thought about apping for something on the higher end like perhaps AMEX BCE. Do you guys/gals think the BCE is pointless with the credit history? Any other recommendations of cards that might better fit me? I prefer cash back or travel rewards, but I also understand I've got a long way to go with my credit.
Thanks for any info I get.
The creditor is required to report the DOFD on the account within 90 days after reporting the charge-off. Their involvement with credit report exclusion ends with their reporting of the DOFD. Thereafter, exclusion falls upon the CRA.
A first reported 30-late in 1/2007 would actually have a DOFD in 12/2006, as 30-lates arent reportable until the account is 30 days past its date of delinquency.
If the acount was not brought back into good-standing after 12/2006 and before they did the charge-off, then the DOFD they were required to report would be 12/2006.
The creditor cannot keep it reporting. The exclusion requirement is imposed on the CRA, who will add 7 years plus 180 days to the reported DOFD, and then must ensure CR exclusion after that date. They could, and usually do, exclude a bit sooner.
Provided the DOFD is accurately reported, ignore what they say about the exclusion date. They arent involved.
could be your AAoA is really short as well. Not really sure what else could be holding down your scores.
This is out of context but i wish somebody could direct me the thread or other resource where I can find information on how do work with chase charge off...i'd like to pay them back to take care of a fallen chage charge off.
thanks in advance.