Paid Barclay Charge Off, lost 6 points.

[Anonymous]

I had a Barclay Itunes Visa with a $250 limit CO.   I paid it, I owed it (well not necessarily ALL of it), figured I would GW it later.  Prior to paying it, it reported as: 

Status as of Oct, 2010

Date Opened Apr, 2009

Date of Last Activity Mar, 2010

Largest Past Balance $253

Account Type Revolving

Account Holder Individual

Scheduled Payment Amount $385

Industry All Banks

  Amount in high credit is original charge-off amount

Balance [?] Current Status [?] Past Due Amount [?]

$522	Bad debt/collection	$134

Seven year payment history [?]

30 days late 60 days late 90+ days late

1 time (Apr 2010)

1 time (May 2010)

4 times (Sep 2010, Aug 2010, Jul 2010, Jun 2010)

Recent payment history [?]

Worst Delinquency [?]

120+ days past due

After I paid it, it reported as: 

Status as of Sep, 2011

Date Opened Apr, 2009

Date of Last Activity Mar, 2010

Largest Past Balance $250

Account Type Revolving

Account Holder Individual

Scheduled Payment Amount $385

Industry All Banks

Paid charge off

Balance [?] Current Status [?]

$0	Bad debt/collection

Seven year payment history [?] 30 days late 60 days late 90+ days late

1 time (Apr 2010)

1 time (May 2010)

15 times (Aug 2011, Jul 2011, Jun 2011, May 2011, Apr 2011, Mar 2011, Feb 2011, Jan 2011, Dec 2010, Nov 2010, Oct 2010, Sep 2010, Aug 2010, Jul 2010, Jun 2010)

Recent payment history [?] 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 2009 2010 2011Worst Delinquency [?]

Bad debt/collection

Paying lost me 6 points. 6 points isn't a whole lot but when rebuilding EVERY POINT COUNTS.    It's counterintuitive to be punished for paying your bills.  It was charged off in Sept 2010.  When my score went up to 622, my AAoA went up from 5 to 6 years and my most recent late payment was 1 year ago.  I paid this, now it says my most recent late was 1 month ago.  So frustrating to do the right thing and get dinged. Does it seem that the account as reported now is correct?  So frustrated. 

ETA:  Sorry for the messy formatting.  Looks fine until I hit post then it goes all screwy!

[Anonymous]

Paying this resulted in them updating the Worst Delinquency from "120+ days past due" to "Bad debt/Collection" and adding 11 90+ late payments.  That just baffles my mind and does not seem right at all. 

[sassymomof2]

Bummer! That does not seem fair!

[Anonymous]

That's unfortunate .  Seems right though -- you paid, it updated.

[Anonymous]

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@Anonymous wrote:

That's unfortunate .  Seems right though -- you paid, it updated.

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Right I paid it.  But they updated the date of the CO.  That's what doesn't seem right.  The CO was a year ago and now it reports as though it was THIS month. 

[Anonymous]

I've sent a GW to Barclays to ask about removing the negative reporting or in the alternative to delete the tradeline.  They asked for some supporitng documentation which I provided and then received a letter today that stated: 

This letter is in response to your dispute regarding the information we have reported to the credit bureau reporting agencies.  We have completed our invesitgation and agree to change the information that has been reported.  Specifically, we have removed the late payment history that you disputed, and updated the negative reporting of the account to all credit bureau reporting agencies.  Please allow 30 days yadda yadda...

Sooooo, while I didn't really dispute any information, they are removing something.  Just have to wait and see what exactly they did.  Hopefully I'll at least get the 6 points back!  This all occured over the course of 3 days through e-mails. 

[Anonymous]

Well, sure enough, Barclays removed ALL the derog info.  GW's definitely do work.  Haven't pulled a new score yet so notsure if that changed.  I haven't received a new ScoreWatch alert though. 

BRCLYSBANKDE

	Old - 09/29/2011	New - 10/03/2011	Comparison
Account No.:	************	**************
Condition:	Paid	Paid
Balance:	$0	$0
Type:	Credit Card	Credit Card
Pay Status:	Collection/Chargeoff	Current
Past Due:	$0	$0
High Balance:	$522	$522
Terms:	---	---
Limit:	$250	$250
Payment:	$0	$0
Opened:	04/02/2009	04/02/2009
Reported:	09/08/2011	09/30/2011
Responsibility:	Individual	Individual
Remarks:	Payment after charge off/collection Canceled by credit grantor	Account closed by consumer

ETA:  Ok, I went and pulled my new scores Couldn't wait!  My TU went up to 670!  My EQ went up to 657!!!  Got my six points back and then some!  This a hundred+ point gain on both scores since July.  I'm shocked and soooooo grateful I discovered this site. 

[llecs]

Awesome example of keeping the TL all the while getting the status changed. WTG!

[CS800]

Bummer,

SAme thing happened to me when I finally paid a CO for Kay Jewellers.

It was CO in 2009 and never reported to the CB's. The minute I pay it off in full this year, they update all the CB's with 20 + 30 days late and on EQ it reported that my most recent late was 1 month ago.

So I got slammed for paying my CO in full. But it's the way Kay reported it and those @$#$%@$ managers when I call them told me everything they reported is true with arrogance and he even did an evil laugh at the end. GW's so far are ineffective.

So to your point, you get hammered for paying off CO's. Unfair

[Anonymous]

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@CS800 wrote:

Bummer,

SAme thing happened to me when I finally paid a CO for Kay Jewellers.

It was CO in 2009 and never reported to the CB's. The minute I pay it off in full this year, they update all the CB's with 20 + 30 days late and on EQ it reported that my most recent late was 1 month ago.

@Anonymous I got slammed for paying my CO in full. But it's the way Kay reported it and those @$#$%@$ managers when I call them told me everything they reported is true with arrogance and he even did an evil laugh at the end. GW's so far are ineffective.

So to your point, you get hammered for paying off CO's. Unfair

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Yeah, sounds exactly right.  I was really bummed when I saw how it updated when I paid it.  So unfair.  Do the right thing and get punished.  Oh well, I felt I did the right thing and now this debt will never come back to haunt me.  And I was successful in GW'ing it to positive account so it happend to work out for me, this time.