https://ficoforums.myfico.com/t5/Auto-Loans/Charge-off-question-DTI/m-p/5527602#M81279 <P>We are looking to buy a new car soon.&nbsp; I was just double-checking all my accounts on my most recent credit report when I noticed an account that was charged off two years ago had "not reporting" rather than "charged-off" and the monthly payment was still showing.&nbsp; The account was sold and I have been paying the collection agency directly.&nbsp; The issue is that without that monthly payment our DTI is 35%, but if that payment is added in our DTI jumps to 39.64%. &nbsp;</P><P>How do you think a credit union or other lenders will look at this? &nbsp; I am going on the assumption that debts that our charged off are not usually included in the DTI calculation.</P><P>Thanks in advance.</P> Tue, 05 Mar 2019 21:16:35 GMT betterdays2011 2019-03-05T21:16:35Z https://ficoforums.myfico.com/t5/Auto-Loans/Charge-off-question-DTI/m-p/5527602#M81279 <P>We are looking to buy a new car soon.&nbsp; I was just double-checking all my accounts on my most recent credit report when I noticed an account that was charged off two years ago had "not reporting" rather than "charged-off" and the monthly payment was still showing.&nbsp; The account was sold and I have been paying the collection agency directly.&nbsp; The issue is that without that monthly payment our DTI is 35%, but if that payment is added in our DTI jumps to 39.64%. &nbsp;</P><P>How do you think a credit union or other lenders will look at this? &nbsp; I am going on the assumption that debts that our charged off are not usually included in the DTI calculation.</P><P>Thanks in advance.</P> Tue, 05 Mar 2019 21:16:35 GMT https://ficoforums.myfico.com/t5/Auto-Loans/Charge-off-question-DTI/m-p/5527602#M81279 betterdays2011 2019-03-05T21:16:35Z https://ficoforums.myfico.com/t5/Auto-Loans/Charge-off-question-DTI/m-p/5528903#M81304 <P>I cannot comment on what financing will do, but thought I'd chime in from my current experience on charge offs. Speaking with a credit union loan officer, I was told they do definitely factor into your DTI, as a charge off still shows a balance due. This balance due still shows up as a revolving credit balance, thus it needs to be paid monthly.&nbsp;</P><P>&nbsp;</P><P>YMMV and don't take this as gospel, this is just what I was told. Maybe someone with better experience can offer some advice.</P> Wed, 06 Mar 2019 21:09:14 GMT https://ficoforums.myfico.com/t5/Auto-Loans/Charge-off-question-DTI/m-p/5528903#M81304 Anonymous 2019-03-06T21:09:14Z