Utility Company Appearing As Credit Account

[x1West]

I recently obtained a copy of my credit reports and noticed that on Equifax our utlitiy company is listing an account with them as a "credit card" and indicating that we missed two payments back in 2014. We did miss those payments while I was inbetween jobs (account was never sent to collections or anything, and I got caught up on those payments as soon as I found new employment). This is not and has never been a credit account, or any type of loan account for that matter, and I'm worried that it is having an adverse impact on my credit rating.

Do I have any grounds to get this account removed, and if so, what would be the best way to go about doing that? Or is this something that utility providers are permitted to do when payments are missed?

Any help would be greatly appreciated. 

[StartingOver10]

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@x1West wrote:

I recently obtained a copy of my credit reports and noticed that on Equifax our utlitiy company is listing an account with them as a "credit card" and indicating that we missed two payments back in 2014. We did miss those payments while I was inbetween jobs (account was never sent to collections or anything, and I got caught up on those payments as soon as I found new employment). This is not and has never been a credit account, or any type of loan account for that matter, and I'm worried that it is having an adverse impact on my credit rating.

Do I have any grounds to get this account removed, and if so, what would be the best way to go about doing that? Or is this something that utility providers are permitted to do when payments are missed?

Any help would be greatly appreciated. 

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^Yes.  They can report negative history. That is what they do.

Try GW letters, especially since it has been a couple of years since the missed payments and you caught back up right away.  

[crissyanj]

That seen odd...I've missed payments in the past on a utility bill and it was never reported to any credit bureau.  The only time a utility company has report me, was because the account went into collections and I didn't pay.  An example was a cable bill, the services were disconnected and I waited a long while to pay the item.  

It never hurts to ask about having the item removed.

[Anonymous]

Still as the OP questioned, I would find it odd to see it show up as a credit card.

[RobertEG]

Utility accounts are "open" type credit, meaning due when billed.

They dont extend credti limits against which you can determine how much to charge, and thus a monthly payment that revolves around your discretionary usage of the authorized credit limit.

I would file a dispute of the accuracy of their reporting, partecularly if the balance is being included in your % util of revolving credit based on their classification of the account type.

[x1West]

@ StartingOver10: It just seems unusual to me that if you pay your electic bill late that they can list your account with them as a deliquent credit card on your reports - Its not a credit card. You pay it or they turn off the lights. I'm not able to go out and buy gas or see a movie on their dime. I realize that if you fall behind on utility bills and those accounts are sent to collections and that the collection agency will report to the bureaus... but that didn't happen here. This isn't being listed a collection, it's being listed as a credit account. A third party company was never involved.

So what should the GW letter say? Should I ask them to change that it's listed as a credit card, or to remove the late payments?

@ RobertEG: I don't think the balance is being included in my utilization. On the report I got from myFico, the "loan type" is listed as a credit card, but it shows a $0 balance and nothing is listed under the credit limit. My concern was mostly on how the "LATE 30 DAYS - 2 times - Dec 2014, Oct 2014" (no reporting appears before or after those dates) was going to be effecting my score. myFico's credit summary indicates that I am higher risk because I have missed payments on my cards within the past two years solely because of this account. I have no late payments on my actual credit accounts.

If the balance isn't being included, would I still be able to question the accuracy of the reporting? I mean, based only on it's appearance as a credit account? It would be hard to argue the validity of the missed payments themselves, since I did fall behind on my electic bill during that time.

Thanks for all your help.

[RobertEG]

I would not question the accuracy of their reporting based on the balance not being included in your util.  You dont think it should be, as it is not a revolving account.

The inaccuracy is the reporting of a non-revolving business accuont as a revolving credit card.  It is an account-type coding issue only.

[JMCB]

Anytime you receive credit or a service that can be reported to a credit agency, there is some kind of paperwork that you had to sign or electronically sign for them to report. Basically acknowledging the debt or future debt. When you signed up for electric service, did they send you any paperwork, contracts, or have you electronically sign anything? Secondly, do you live in a state where you prebuy your power, similar to Texas? If you prebuy blocks of power and there is a contract for monthly payments, then I could possibly seeing that missed payments could be reported because its a loan, because your are buying blocks of power. But in my opinion, thats the only way I could see them reporting it. I would call them and ask them straight out!!