topic Re: Capital One deleted account from CRA's after closure in General Credit Topics

Capital One deleted account from CRA's after closure

CJ7 — Tue, 27 Nov 2018 19:09:38 GMT

I was an authorized user on a decades-old GM card. The account owner passed away, so I called in to close the account.

Within a few days, the account went *poof* from all 3 CRA's on my reports. Is there some reason it didn't continue to report

for 10 years, just because I was an AU? Would I have any success in getting the account history placed back on my reports?

Re: Capital One deleted account from CRA's after closure

Anonymous — Tue, 27 Nov 2018 19:15:36 GMT

I believe this is par for the course for AU's. From everything I've read anyways.

I bet your AAOA took a hit? How many points did you lose?

Re: Capital One deleted account from CRA's after closure

FinStar — Tue, 27 Nov 2018 19:22:18 GMT

You were the AU and not primary accountholder. Let's face it, if the primary accountholder is deceased then the lender (per your instructions) will close the account and any AUs associated with the account are typically removed. The only exception is for joint accounts or where the account responsibility is transferred (i.e. POA, Trust, etc.).

So, it is unlikely you will be able to get the account to re-report.

Re: Capital One deleted account from CRA's after closure

CJ7 — Tue, 27 Nov 2018 19:47:23 GMT

I probably lost 10 points, this was a few years ago. AOOA dropped by 7 years.

What I find odd is that the same lender is still reporting to the AU of an account

that I owned and closed 6 months ago.

Re: Capital One deleted account from CRA's after closure

FinStar — Tue, 27 Nov 2018 19:54:43 GMT

Ok but is the AU deceased? If you are the primary accountholder and close the account (and neither party is deceased) then the account will report under those stipulations.

Re: Capital One deleted account from CRA's after closure

CJ7 — Tue, 27 Nov 2018 20:16:57 GMT

@FinStar wrote:
Ok but is the AU deceased? If you are the primary accountholder and close the account (and neither party is deceased) then the account will report under those stipulations.

Not deceased. Seems I should have just closed the GM account without mentioning the deceased part...

Re: Capital One deleted account from CRA's after closure

HeavenOhio — Tue, 27 Nov 2018 20:22:15 GMT

"Deceased" will eventuallty land on the credit report.

Re: Capital One deleted account from CRA's after closure

FinStar — Tue, 27 Nov 2018 20:23:03 GMT

Except that whenever there's a public record associated with the deceased individual, then it would've been a matter of time before the account would've been shut down by the lender to avoid any potential liability, regardless of whether you used the account or not.

Bottom line, honesty is the best policy. So you did the right thing by letting them know.

Re: Capital One deleted account from CRA's after closure

UncleB — Tue, 27 Nov 2018 20:33:39 GMT

@CJ7 wrote:
@FinStar wrote:
Ok but is the AU deceased? If you are the primary accountholder and close the account (and neither party is deceased) then the account will report under those stipulations.
Not deceased. Seems I should have just closed the GM account without mentioning the deceased part...

Just FYI generally speaking an AU can do anything on an account except for close it... usually only an account owner is allowed to do that, unless the owner is deceased, of course.

I'll also add that while creditors are allowed to report closed accounts for up to 10 years, they aren't required to. Any attempt to get a removed AU account to start reporting again will likely be fruitless.

Re: Capital One deleted account from CRA's after closure

UncleB — Tue, 27 Nov 2018 20:38:51 GMT

@FinStar wrote:
Except that whenever there's a public record associated with the deceased individual, then it would've been a matter of time before the account would've been shut down by the lender to avoid any potential liability, regardless of whether you used the account or not.

Bottom line, honesty is the best policy. So you did the right thing by letting them know.

As soon as the Social Security DMF (Death Master File) was updated lenders would have been able to find out the account holder was deceased.

Many lenders are becoming increasingly efficient with this... just ask anybody who's SS# has been added to the DMF in error.

Re: Capital One deleted account from CRA's after closure

RobertEG — Thu, 29 Nov 2018 23:17:52 GMT

Closing of a revolving account per se only ends the ability of the account holder to make additional charges.

Liability for the debt continues, as does the ability to post new delinquencies.

Death of the single account holder does more than just cease new charges. It begins a process that puts the debt into determination of continued liability under administration of the decedent's estate.

There is no longer a living account holder for granting continued authorized use to another, so the AU is automatically terminated when the account holder becomes deceased.

Re: Capital One deleted account from CRA's after closure

Anonymous — Fri, 30 Nov 2018 00:45:43 GMT

@CJ7 wrote:
I probably lost 10 points, this was a few years ago. AOOA dropped by 7 years.
What I find odd is that the same lender is still reporting to the AU of an account
that I owned and closed 6 months ago.

Hi CJ. I don't understand the last sentence. Are you saying that:

* Some other person (let's call him Bob) was an AU on a card in your name, and

* That AU account appeared on Bob's reports, and

* You closed that card six months ago, but....

* As of very recently the AU account still appears on Bob's reports?

Your language talks of a lender reporting to an AU, which confused me, since lenders report to the CRAs, not to consumers.

If the four bullets above are what you mean, you may want to look at Bob's most recent reports and specifically look for a field called Date Last Reported. Just because an account appears on a person's reports it doesn't mean that the creditor is still continuing to update that account, particularly in the case of a closed account. It may just mean that the creditor stopped updating it after the creditor reported the account closed.

Re: Capital One deleted account from CRA's after closure

CJ7 — Fri, 30 Nov 2018 01:30:57 GMT

@Anonymous wrote:
@CJ7 wrote:
I probably lost 10 points, this was a few years ago. AOOA dropped by 7 years.
What I find odd is that the same lender is still reporting to the AU of an account
that I owned and closed 6 months ago.
Hi CJ. I don't understand the last sentence. Are you saying that:
     * Some other person (let's call him Bob) was an AU on a card in your name, and
     * That AU account appeared on Bob's reports, and
     * You closed that card six months ago, but....
     * As of very recently the AU account still appears on Bob's reports?

Yes. Sorry for the confusion. I meant to the AU's reports.

While it is possible that no further updating is occurring, my point was that the account

is still listed and presumably will for another 9.5 years.

Re: Capital One deleted account from CRA's after closure

Anonymous — Fri, 30 Nov 2018 02:13:07 GMT

Yup. But as the other folks have mentioned, when the CC issuer is notified that the owner of the account has died, that triggers an additional set of processes, including but not limited to the deletion of AU accounts. The mere closure of an account doesn't impose those.

I agree that it would be a little odd if a CC issuer was continuing to actively report (i.e. update) an AU account that had been closed a several months ago. It sounds like that did not happen in the case you mentioned though.