Reporting Status on CRA's

[yomellamoFICO2013]

I am a bit confused about status updates from CRA's

I have a settled account from 08, which used to be an installment account for an auto loan. The letter that i received states " As of Oct 23,2008 your account was SETTLE IN FULL as a charged off account and has been closed". I reviewed my credit report and it appears with a current status of  120+ past due.

I called my former creditor to ask this status to be modified, since from my point of view is incorrect. The CS representative said that they could not make any corrections, but I had to wait 7-10 years to get it off my CR.

Is this information correct ?

I thought once you settled an account, it would show up as "settled".

FYI, this loan did not go to collection, I settled directly with Americredit/GMFinancial

[guiness56]

Current status should NOT be 120 days past due.  It should say settled or paid.  The worst delinquency should say was 120+ days past due.

The TL will be excluded 7.5 years from the DoFD which is when you first became behind in payments and never caught up again.  Is there anything like that on your report?

EQ will show the DoFD, TU and EX show a removal date.

If they will not help you, send them a direct dispute under FCRA 623a(8).  This puts them in the hot seat for having to investigate the dispute.  They will have 30 days to inform you of their findings.  They are also required to fix any errors.

[yomellamoFICO2013]

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@guiness56 wrote:

Current status should NOT be 120 days past due.  It should say settled or paid.  The worst delinquency should say was 120+ days past due.

The TL will be excluded 7.5 years from the DoFD which is when you first became behind in payments and never caught up again.  Is there anything like that on your report?

EQ will show the DoFD, TU and EX show a removal date.

If they will not help you, send them a direct dispute under FCRA 623a(8).  This puts them in the hot seat for having to investigate the dispute.  They will have 30 days to inform you of their findings.  They are also required to fix any errors.

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This is what EQ is currently showing:

FYI - I submitted a dispute with EQ, they are currently investigating it.

GMFNANCIAL

PO Box 181145
Arlington, TX-760961145
(800) 284-2271

Account Number:	43250XXXX	Status:	COLLECTION ACCOUNT
Account Owner:	Individual Account.	High Credit:	$16,867
Type of Account :	Installment	Credit Limit:
Term Duration:	63 Months	Terms Frequency:	Monthly (due every month)
Date Opened:	11/17/2006	Balance:	$0
Date Reported:	05/17/2011	Amount Past Due:
Date of Last Payment:	10/2008	Actual Payment Amount:	$400
Scheduled Payment Amount:	$411	Date of Last Activity:	N/A
Date Major Delinquency First Reported:	11/2008	Months Reviewed:	24
Creditor Classification:	Financial	Activity Designator:	N/A
Charge Off Amount:		Deferred Payment Start Date:
Balloon Payment Amount:		Balloon Payment Date:
Date Closed:		Type of Loan:	Auto
Date of First Delinquency:	02/2008
Comments:	Consumer disputes - reinvestigation in progress, Collection account

[yomellamoFICO2013]

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I realized that the Date of major delinquency (11/08) is off since the debt was settled in (10/08).
Now I think they really are screwing up in here. which would be the best course of action since I already submitted a dispute with EQ ?

[guiness56]

Wait and see what EQ does first.  If they don't do anything, file a direct dispute with the furnisher under FCRA 623a(8).

[yomellamoFICO2013]

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@guiness56 wrote:

Wait and see what EQ does first.  If they don't do anything, file a direct dispute with the furnisher under FCRA 623a(8).

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Thank you guiness56. It's time to wait and see what happens. Your info is very helpful.

[yomellamoFICO2013]

It's very clear that they are making a big mistake.

The same account on Experian is reported as follows:

GM FINANCIAL Current Closed More Account Details Close Account Details 800-284-2271 PO BOX 181145 ARLINGTON, TX 76096
	Experian®	Equifax®	TransUnion®
Account Name	GM FINANCIAL
Account #	43250XXXX
Account Type	Auto Loan
Balance
Date Opened	11/1/2006
Account Status Closed Mo. Payment   Past Due   Payment Status Legally paid in full for less than the full balance High Balance   Limit   Terms 63 Months Comments Account in dispute-reported by subscriber

[guiness56]

That one looks good.

[RobertEG]

I'm a  bit confused.

The reports provided show that they referred the debt for collection.  I dont see reporting of a charge-off or of a current status of 120-late.

Regardless, the current status shows the level of delinquency until the debt is satisfied, then it updates to show paid.

If the current status is still reporting a delinqency level, that is incorrect.  Correcting that inaccuracy has nothing to do with its credit report exclusion date, and their comments to that effect were irrelevant.  Update to reflect paid is required under FCRA 623(a)(2).  It is not discretionary.

Send them a direct dispute under FCRA 623(a)(8), requiring them to verify the accuracy within 30-days or else correct the inaccuracy. They must respond.

Outcome wont require them to delete the reporting of either any delinquency or the CO, only shift its coding to Payment Rating (which reflects its deliquency level prior to its current status), and correct the currrent status to paid.  It will change the cubby-hole in your credit file that contains the information.

The importance of the update to paid is that it informs others pulling your file that the debt was satisfied.  A current status of delinquency tells them just the opposite.

That is the reason for a correct current status.

[guiness56]

I don't see the remark in them either.  I responded before the TL was listed.