Question about CA on report

[Anonymous]

My DH has a couple accounts that went to collections. Why do the original accounts still show that they have a balance owed but amount past due is $0? If they were purchased by another lender, shouldn't the balance on the original account be $0?  Its adding these balances to his total revolving account balances, which makes his utilization a higher percentage.

These balances are also showing up under the Collection Accounts section of his myfico.com report.

Status as of [?]  Nov, 2005

Date opened [?] Sep, 1996

Date of last activity [?] Nov, 2005

Date paid out [?] Not Reported

Date closed [?] Nov, 2004

Account number [?] XXXXXXXXXXX

Loan type [?] Charge Account

Credit limit [?] $1,300

Largest past balance [?] $1,035

Terms [?] Not Reported

Account Type [?] Revolving Account

Account holder  Individual Account

Scheduled payment amount  Not

ReportedDescriptions [?]·                                

Purchased by another lender

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

$911           Charged off as bad debt       $0

Can anyone help me understand this? Thanks for your help!

[llecs]

Both should read the same number if charged-off.

You could possibly dispute if reporting inaccurately, but don't do it if inside SOL or if you don't have the $$$ to PIF, if unpaid.

[Anonymous]

I've read on another post that you really dont want to pay off an old CA because then the Date of Last Activity will be recent and that could effect your score...and if your looking to get a loan soon, that could be bad as well.

Is that correct information or is it better to pay it off now?

[llecs]

Very true. FICO could read it as a newer CA and drop your score. However, what you showed above is an OC account. Paying it could hurt, but then you'd still have the CA reporting too.

To clarify, both the OC (shown above) and the CA are reporting, right?

[Anonymous]

Yes. Both CO and CA are on his report.

This is what the CA part of his report looks like... The $911 is showing up on his accounts section and CA section.

Collection agency [?]********

Original balance [?] $911

Current balance [?] $911

Status [?] Not Reported

Date assigned [?] Nov, 2004

Date reported [?] Nov, 2004

Date last active [?] Nov, 2005

Date paid [?] Not Reported

Date closed [?] Not Reported

Original lender [?] **********

Account number [?] XXXXXXXXXXXXXXXXXX

Type of account [?] Revolving

Account holder [?] Individual

Type of credit [?] Not Reported

Payment status [?] Not Reported

Largest past balance [?] Not Reported

Amount past due [?] Not Reported

Account descriptions [?] Not Reported

[llecs]

I would send a DV if outside of SOL or you have the $$$ to PIF. After the DV, I probably would dispute the balance of the OC report. They should be reporting $0.