Date of Major Delinquency First Reported

[OptimalCS]

Hey guys,

Thanks in advance for your feedback. I have a collection account with Midland Credit Management that opened in 2008. They are reporting the account to Equifax with  the date of first delinquency as 07/2006 and the date of first major delinquency as 01/2009. 

My questions: 

A) What does "Date Major Delinquency First Reported" mean?

B) How is this different from "Date of First Delinquency"?

C) Why is MCM reporting the date of first major delinquency so far from the date of first delinquency ( 2 yrs)? 

D) Is this legal?

E) Is this hurting my score more or does is not really matter because its a collection account anyway?

[llecs]

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@Aim720 wrote:

Hey guys,

Thanks in advance for your feedback. I have a collection account with Midland Credit Management that opened in 2008. They are reporting the account to Equifax with  the date of first delinquency as 07/2006 and the date of first major delinquency as 01/2009. 

My questions: 

A) What does "Date Major Delinquency First Reported" mean?

B) How is this different from "Date of First Delinquency"?

C) Why is MCM reporting the date of first major delinquency so far from the date of first delinquency ( 2 yrs)? 

D) Is this legal?

E) Is this hurting my score more or does is not really matter because its a collection account anyway?

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That date is meaningless. I had it on a few of my reports and meant nothing to me as far as repair or scoring went. DOFD is the important date. It's the CRA(s) that are reporting that date as opposed to the CA.

[OptimalCS]

Thanks for the feedback

[RobertEG]

I agree with you that this date difference does not make a lot of sense.

DOFD is originally set the very first month that you have a delinquency on the OC account.  If you then go 60-days late, that is your first date of a major delinquency, but has no effect on the DOFD, and is not used for any credit reporting or scoring related matters.  Major delinquencies are simply those of 60+ days late.

That DOFD remains until two things happen.....you bring the account back into good standing, and then have a new first delinquency.  If that occurs, the old DOFD is no longer relevant, and the new DOFD should replace it in your CR.  DOFD is the date certain that is used to determine the fall of the CA from your credit report after 7 1/2 years from that date, and is the date that matters.  CRAs dont "determine" your DOFD.  That date is required, under FCRA 623(a)(5)(A), to be privided by the OC. 

Dates of delinquency can only be reported by an OC, and not a debt  collector.  You dont have an account with a debt collector, so the CA cannot report a date of monthly delinquency.  CA "accounts" are strictly reporting accounts between the debt collector and the CRA.

Having said that, your CR shows a DOFD of 1/2006, and reporting of a collection in 2008, and then a date of first major delinquency of 1/2009

In order for a collection to have been reported in 2008, the OC accouunt must have been closed by that time.  Thus, no delinquency, major or otherwise, should have been reportable in 1/2009.  

Chances are that if it went to collection in 2008, you probably had a first major delinquency after 1/2006 but before 2008.  Maybe the OC just did not report one

Thus, that 1/2009 date probably reflects some date of activity under the CA that is unrelated to a delinquency.  Since date of major delinquency is really meaningless to credit scoring, I would not pay much attention to it.  Probably inaccurate, but not of any real significance.  I think you just have a poorly formatted credit report.