New Late for a closed account?!?! What to do?

[notoriousrod]

The last time I pulled my TU report from myfico was June 30th, 2009.  I just pulled it again to see how it looks and I noticed there was a new late for my "closed" HSBC Sony account.

This is what the June 30th report looked like:

30 days late 3 times (Jul 2008, Nov 2007, May 2007)

60 days late 1 time (Aug 2008)

This is what today's report looked like:

30 days late 4 times (Feb 2009, Jun 2008, Dec 2007, May 2007)

60 days late 1 time (Mar 2009) 90+ days late 0 times

What should I do?

[Anonymous]

The background to this is that you're dealing with a bunch of different companies.

HSBC shares its info with the CRAs.  Then the CRAs individually sell their info to FICO.  So you're talking about three different layers of data and computers interpreting data.

I suspect that if you pull a credit report directly from TU, it will not show any new late payments.  But something updated that account.  Maybe you disputed, maybe they added interest, etc.  But the account updated recently.  TU doesn't count that as a late payment.

But somehow, when they sell that info to FICO, FICO interprets that update as a "late payment" and dings you accordingly. 

As long as the update was correct at TU's level, there's no correction.  TU will tell you that they're not reporting a late payment, and FICO will tell you that they don't generate any information themselves, they just take what they are given.  Basically, it's a glitch that no one will fix.

Check the TU report from TU.

[RobertEG]

CRAs dont sell data to FICO.  FICO does not retain creditor data.  FICO licenses their scoring algorithms to the CRAs, who then run it through their licensed FICO algorithms.

[notoriousrod]

Well what worries me is that the account has been closed since beginning of 2008.