Settled charge off still reporting

[Anonymous]

Hii all!
I have ignored my credit until recently and am working on rebuilding now. I noticed something on my credit report that I think might be incorrect. I'm hoping someone can help me understand whether or not this is correct.

I had a credit card charged off back in 2009 or 2010. I settled it in 2011 for less than the full balance. On my report it says "Legally paid in full or less than the full balance" but it is still reporting negative payment history to present. Can they do that? I understand the negative payment history being reported prior to me paying, and staying on my report for 7 years. But I assumed it would stop updating each month as if it were still open?

I disputed the information, and it came back as correct. What the heck!? Any information or guidance is greatly appreciated!

[gdale6]

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@Anonymous wrote:
Hii all!
I have ignored my credit until recently and am working on rebuilding now. I noticed something on my credit report that I think might be incorrect. I'm hoping someone can help me understand whether or not this is correct.

I had a credit card charged off back in 2009 or 2010. I settled it in 2011 for less than the full balance. On my report it says "Legally paid in full or less than the full balance" but it is still reporting negative payment history to present. Can they do that? I understand the negative payment history being reported prior to me paying, and staying on my report for 7 years. But I assumed it would stop updating each month as if it were still open?

I disputed the information, and it came back as correct. What the heck!? Any information or guidance is greatly appreciated!

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Bring this monthly updating to the attention of the CRA as its their policies that an account that is paid quit updating oce its updated to paid status. The 7.5 year period starts from the DoFD not the 2011 payoff date.Welcome to the board

[RobertEG]

It really depends upon how it is reporting.

Once a CO is reported, it remains of record until it is excluded after no later than 7 years plus 180 days from the reported DOFD.

While the account remains delinquent, it can also be the Current Status until it is paid.

Once paid, the Current Status becomes paid (or settled for less), and the CO remains in the payment history.

Are you saying that they are continuing to report the Current Status as a derogatory status after you paid, such as charged-off or continued monthly delinquency, or only that the account is still showing the charge-off?

[Anonymous]

Yes, it is still updating each month with derogatory payment status ( July 2017 -negative, June 2017-negative, etc.).

[RobertEG]

Then it is a lot more serious than simply continuing to report monthly updates.

It is a clearly inaccurate reporting of an incorrect current status.

I would file a dispute of accuracy of the current status.

Current status is only a snapshot of the account status as of the last/latest reporting.

If the account is no longer delinquent, then the current status must no longer be derogatory.  It must show paid or settled.

The CO can still show under what is called the Payment Rating and remain in the prior Payment History Profile, but cannot show as the Current Status.