topic Re: Accounts Reported Late After Being Discharged in Bankruptcy

Accounts Reported Late After Being Discharged

LS430 — Wed, 14 Dec 2022 07:15:51 GMT

Hi,

My chapter 7 discharge was in October 2021. I am having accounts being reported as late now with one that was discharged being reported 180 days late today. Is this normal? Any thoughts? Needless to say it tanked my score 34 points.

Thanks

Re: Accounts Reported Late After Being Discharged

FireMedic1 — Thu, 15 Dec 2022 11:32:47 GMT

No its not normal. Its against the US Court BK laws. No negative info can be placed on a credit report if the late was before the filing date. Make copies of the credit report and your filing papers and ship it off to the CRA's. Certified return reciept to have it removed. Grab annualcreditreport so you send in the real report. Good Luck!

Re: Accounts Reported Late After Being Discharged

pizza1 — Sat, 17 Dec 2022 15:21:28 GMT

If you were up to date on your payments, with no lates prior to your filing date, then no, they cant report them as late.

Re: Accounts Reported Late After Being Discharged

brendini — Tue, 09 Jul 2024 02:35:51 GMT

@pizza1 wrote:
If you were up to date on your payments, with no lates prior to your filing date, then no, they cant report them as late.
@FireMedic1wrote:
No its not normal. Its against the US Court BK laws. No negative info can be placed on a credit report if the late was before the filing date. Make copies of the credit report and your filing papers and ship it off to the CRA's. Certified return reciept to have it removed. Grab annualcreditreport so you send in the real report. Good Luck!

This is my question. I had an AMEX card that is IIB, and the payments were made each month paying my balance in full. The same month I filed CH 7, I made my payment on the account. After the BK was filed, when AMEX closed the card, they list the month of filing as the First Date of Delinquency. The account wasn't late in the billing cycle, it was paid timely, always.
Is it correct to report it Delinquent due to the filing BK and not a late payment?

I posted my own post about using CFPB for two cards that were paid in full and they automatically reported as IIB (neither card was listed in the bankruptcy paperwork).

One card, an AMEX Hilton card, WAS included in the bankruptcy paperwork. I had two purchases set up as the installment payment plans, and this totaled more than the $600 in preferential payment that you are allowed. I made my monthly payment under $600, and there was still $448.00 on the card. It wasn't a matter of just borrowing $400 because I couldn't go over the preferential payment amount. The account was never late and always paid as agreed, until I filed BK over an old auto loan with no gap insurance, that fell off my report before I filed BK.

The answers seem as ambiguous to me as the way the Transunion report does not report First Date of Delinqency, and reports the Amex card as "Current/ Paid as Agreed" and under remarks " Bankruptcy". The same card reports on Equifax and Experian as a First Date of Delinquency and the pay status "Debt IIB" and under remarks "Bankruptcy". To be clear from my end, both responses that I'm replying to appear to say that the Amex card should not have a delinquency date.

Re: Accounts Reported Late After Being Discharged

brendini — Tue, 09 Jul 2024 18:03:07 GMT

https://m2reporterhelp.weebly.com/date-of-first-delinquency.html

This reads like the Amex card should report First Date of Delinquency for a Current account:

How To Report:

For Account Status Codes 61-65, 71, 78, 80, 82-84, 88-89 and 93-97 - Report the date of the first delinquency that led to the status being reported. If a delinquent account becomes current, the Date of First Delinquency should be zero filled. Then if the account goes delinquent again, the Date of First Delinquency starts over with the new first delinquency date.

For Account Status Codes 05 and 13, if the Payment Rating is 1-6, G or L, report the date of the first delinquency that led to the Payment Rating being reported.

For Consumer Information Indicators A-H and Z (Bankruptcies), 1A (Personal Receivership) and V-Y (Reaffirmation of Debt Rescinded with Bankruptcy Chapters), if the account is current (Account Status Code 11 or Account Status Code 05 or 13 with Payment Rating 0), report the date of the bankruptcy/personal receivership notification. Even though the account is not delinquent, this date is required for purging purposes.