need some help on this one

[Anonymous]

Need some help as I dont understand all my options or what I can do to help my slef in this situation.  So I have a Repo in collecton about 4 to  years old and its beng reported on experian as closed charged off etc, equifax the same, but on trasunion it all of a sudden reported as open and seems to have dropped my score some. Can I dispute this item and hopefully get it removed etc.? I also am in the process of getting pre approved for a home and the lender said this item must be settled and paid before we move forward. So I settled with them for 1400 and oringinal loan was 13000. once this updates should I get an increase in score like the lender said? I have 3 open credit cards all in good standing also and know late paymets.

[RobertEG]

It is stated that the repo was reported by the creditor as a charge-off, and is also in collection.

Has the debt collector reported a collection?  What is reporting as Open, the OC account or the collection?

When either a creditor or debt collector makes a monthly reporting that the debt remains in a delinquency status, that effectively extends the length of delinquency in the eyes of FICO, and thus affects scoring.  Paying the debt terminates any subsequent monthly extensions of delinquency status, and thus permits the derog to begin to age.

Paying does not directly improve score, but rather terminates continued updates that can negatively impact scoring.

As for a dispute requring deletion of derogs or of the account, is the dispute relates to accuracy of info other than the legitimacy of derogs themselves, such as reporting of open or closed status, resolution of the dispute would not require any deletion of the charge-off or a collection.  It would only mandate correction or deletion of the specific item that is subject of the dispute.  Account status is a side show.

[Anonymous]

The det collector has reported it as a collection and payment status says repossession. the account status says closed on experian, closes on equifx and open on transunion.

All 3 of these account previosuly said account status closed. so is it possible to get it removed altogether since this appears to be an error of them reopenign the account? or should I just settle for what happens with the settlement?

[RobertEG]

Collections report as open while the debt collector has "open" authority to collect on the debt.

Technically, yes, it should be consistent in reporting with each CRA, as it relates to a factual status of the collection.

However, inaccuracies in reporting are handled by the FCRA dispute process, which provides that an asserted inaccuracy must either be verified as to its reported accuracy, corrected so as to overcome the inaccuracy, or if neither of the former can be done, deleted.

Current status must be either open or closed, so it must either be verified as accurate or corrected.  A current status cannnot be totally deleted.

Additionally, a dispute relates only to the info asserted to be inaccurate, and thus a dispute of accuracy of an item such as its open or closed status does not require any finding that would compel deletion of the entire collection.

No, the fact that there may be a reported inaccuracy would not be basis for compelling deletion of the entire collection.

The result should be consistent reporting with each CRA of an item that is factual in nature.