transferred loan showing currently delinquent

[gbfan10]

I posted something about this before, but didn't explain it correctly.   I disputed inaccurate  info on a Bank of America loan.   They transfered it to a new lender about 3 years ago.   After disputing it, my score dropped and I was denied a loan because of this.    Bank of America updated the CRA's with a 30-59 day late as the current status, yet a 0 Ballance.    THis isn't fair, as I can't make a payment to resolve this, since it was a 0 balance and it was transfered.   I now have a currently delinquent mark on all 3 reports with them, even though I haven't dealt with them in years.    I am screwed until this ages off???   

[RobertEG]

If the monthly delinquency occured while they still owned the account, then yes, they can report at any time.

The issue of its current status is separate from the payment history profile recording of a monthly delinquency.

Current status is simply the snapshot of its status as of the date of reporting.

If it remained late at the time they sold the debt and updated the balance owed to them to $0, then that was its current status as of that reporting.

If they had not sold the debt and you paid the delinquent balance to them, that would not have erased the reported delinquency.

A reported monthly delinquency remains for 7 years from its date of occurence, paid or unpaid.

[gbfan10]

It's been 2 months now and it is showing as currently delinquent. When I apply for a loan they deny me saying I can't be currently delinquent on any loan or card. This can't be legal

[Anonymous]

I am having this issue with Bank of America on a student loan that was late, but later reconsolidated by me through Nelnet with some other loans. It still reports as 120+ days late as the status, and that was 5 years ago. 

I tried disputing it, being very clear that the status was being currently deliquent was incorrect, but it remained. They updated the balance to $0 and added a comment that it was paid in full, but did nothing to the current status.

[Anonymous]

If it was derogatory when they sold it and you recently disputed it and after investigation it will look freshly reported even though the lates were years ago. It is why it is often best just to let old accounts sit and not touch them unless there are major issues with it.