Charge off account from 4 years ago dropped my credit score 100 points this month

[Anonymous]

Can someone explain how a charge off that is 4 years old dropped my credit score 100 points this month?  I thought that as they aged your score improved and it had been over the past year, but all of a sudden myFico's formula that is provided to the credit bureaus dropped my score 100 points.  They explained that because the company is continuing to report it monthly as a CO, that it caused my score to drop.  I explained to them that that account was the same 6 months ago and a year ago when my score was 100 points higher.  It's like I am getting scored as if it's a new charge off.      A V V O!!!

[Anonymous]

That's odd. I had a charge off report as CO for 13 months before being closed.

[Revelate]

Yeah, Charge Offs suck; if it is still open with a non-zero balance they can mark it still with CO as it's a base tradeline that hasn't been resolved, i.e. it looks current to the algorithm.  It's an OC tradeline so delinquencies (lates) and CO's are "current" for as long as you're behind unlike other derogatories (collections, tax liens, BK's, foreclosures) that are lines in the sand.

If you compare your current to a historical report, it's likely it wasn't updated for a period of several months or significantly longer, but there will likely be a recent status date on the current one which would potentially cause that.

[Anonymous]

Most likely whomever u owed the money to sold it to another company and they r still trying to collect on u and reporting it

[nycfico]

This is confusing to me.  I thought a charge off was a charge off...whether paid or not...for FICO purposes?

I too am facing a similar situation on a charge off that is nearly 6 years old now.  I was paying it off every month and got it from the original $30k down to $20k before JPMC 1099'ed me out of nowhere.  So I paid taxes on it, but it still shows up as 'late' every month on my report and obviously that's holding down my scores.  This will still fall off next year, I sure hope, but in the meantime some of my reports say I'm currently late on payments, even though I havent' been seriously late on any payment in three years.

I really don't know what to do about it and am leery of fighting them too much on it since it will fall off in about 8 months I think.