topic Re: Chase Charge-Off in Rebuilding Your Credit

Chase Charge-Off

Anonymous — Wed, 07 Apr 2010 10:17:55 GMT

Probably my most serious derogatory on my CR is a charge-off from Chase for $192.

When I first saw it on my CRs I had no idea what it was, so I disputed it. All my debt troubles cascaded from tax troubles years ago. (Not to get political, but our elected officials get a free ride on tax issues, and it grinds us everyday citizens into paste. Grr.) Anyway, I couldn't believe I owed it, and I couldn't believe I couldn't remember a charge-off. I could even only vaguely remember a Chase account, but then, I've had a lot of CCs over the years, and I guess all horses look the same in the dark.

So I disputed it.

Back at the beginning of March, I sent them this letter

Dear Sir/Madam:

According to Equifax, I have an account with you, with the above referenced account number, which is seriously past due and shows on my Equifax credit report as a negative item, with particulars as follows:

Balance amount: $192

Amount Past Due: $192

Charge off amount: $910

Date of first delinquency: 10/2006

I do not have records confirming this account. Can you please provide me with documentation regarding this matter?

Furthermore, if you can confirm this obligation, is there some resolution that will remove the negative item on my credit report?

They replied with about 50 pages of statement printouts and a cover letter stating that the account was opened on July 2002, there’s a current balance of $192.99, last payment was July 2008 for $119.53, account was charged off in April 2007. They also said, “To preserve the integrity of the credit bureau reporting system, we are unable to alter valid information reporting to the bureaus.

According to my Equifax CR, the DOFD was Oct 2006. The 81-month payment history is insane. Going backward from the present, it’s 24 months of 180, 11 months of CO, and then some spare change April 2006.

So, where do I go now? Do I pay off the $192 without further conversation with them? Do I try to pay off the charged off amount, the $910? Man, that would sting.

Is there anything that I can do about the blood on my CR?

Any thoughts or advice is appreciated. I wish I’d known about myfico a long time ago. Sorry for the long post.

Re: Chase Charge-Off

Anonymous — Wed, 07 Apr 2010 12:33:31 GMT

Is there also a CA affiliated with this account?

I'd probably start by calling / writing Chase and seeing if there's any way they'd re-open in good standing (no derogs) if you PIF. Explain why you neglected them, and why that is no longer the case, apologize for past bad behavior, and ask if they'll take payment to re-open in good standing.

Re: Chase Charge-Off

Anonymous — Wed, 07 Apr 2010 13:10:43 GMT

@Anonymous wrote:
Is there also a CA affiliated with this account?

I'd probably start by calling / writing Chase and seeing if there's any way they'd re-open in good standing (no derogs) if you PIF. Explain why you neglected them, and why that is no longer the case, apologize for past bad behavior, and ask if they'll take payment to re-open in good standing.

No, there's no CA. At least none showing on my CRs.

Asking to reopen sounds like a good idea, although I'll have to steel myself for them to fall to the floor laughing at the other end.

I'm concerned about how to handle it so that I get something out of it. I have nightmare scenarios in which I pay them off, and they continue to report me late every month.

Re: Chase Charge-Off

llecs — Wed, 07 Apr 2010 14:00:05 GMT

Mauve's idea is great. Another is to try the PFD route. You can offer whatever, but more the better per getting it accepted. However, I don't recall any successful PFDs...if it were me, I'd ignore others' non-success and send it anyway. Worse case, PIF then GW them. If you pay anything less than the full balance w/out a PFD, they will mark your TL as settled and that won't help your score any (it'll hurt it).

Re: Chase Charge-Off

Anonymous — Wed, 07 Apr 2010 14:50:01 GMT

So maybe a reasonable plan is to call, try for reopening, be willing to pay the $192 to get them to stop reporting me late.

Is writing or calling better?

Should I require them to put any deal in writing?

Is there anything I have to worry about about accidentally resetting the SOL, or anything like that?

Thanks

Re: Chase Charge-Off

MarineVietVet — Wed, 07 Apr 2010 19:30:26 GMT

@Anonymous wrote:
So maybe a reasonable plan is to call, try for reopening, be willing to pay the $192 to get them to stop reporting me late.

Is writing or calling better? I would write to keep a paper trail.

Should I require them to put any deal in writing? This is a good idea.

Is there anything I have to worry about about accidentally resetting the SOL, or anything like that? In some states making a payment will reset the SOL. You need to see how that is done where you live.

Thanks

Re: Chase Charge-Off

Anonymous — Thu, 08 Apr 2010 21:09:14 GMT

Wow, I am so incredibly bad at this.

So I called Chase. Twice.

The first time, the CSR wouldn’t even admit that if I paid the $192 that they would stop reporting me 180 days late. It was like talking to a wall. She was like pay it or not, whatever. We don’t report anything on your credit report, that’s the credit reporting agency. Yeah, we're going to screw you over every month for years, but whatever.

Sigh. I hung up and I just sat there staring at the wall.

Then for some reason I decided to try again. The second time, the CSR was much more reasonable. No matter what, they aren’t going to reopen the account. I would have to re-apply. Eventually he transferred me to the internal recovery unit, where I talked to a very nice lady. I had visions of an elderly type with gray hair in a bun, who had seen the sorrows of the world over her lifetime. (What am I talking about? I’M the elderly type. Sigh.)

Anyway, I also asked her about reopening my account. She assured me that wasn’t possible. I also talked to her about removing information from my credit report. She said that wasn’t possible either. I approached it from several angles. She continued to state that they won’t remove any information.

I told her that I hadn’t known that I owed the $192.99 for the last 2 years, that since regaining my financial footing, that I’ve paid off anyone that I’ve owed money to. I tried to see if they would just remove all the 180s going back to 2008. No joy.

She did say that if I paid the $192.99 (they’re all very insistent about the 99 cents, jeez) that Chase would stop reporting me late every month. So I took her up on it. I took the easy way out and paid over the phone. I hope that wasn’t a mistake.

I listed my 81-month history from my EQ CR below. It is my hope that paying the $192.99 will mean that they stop piling up those 180s on top of each other.

It looks like there is no way Chase is going to do a PFD, or even remove the individual negative items.

Oh well.

I suppose that I can try sending them a GW letter. Seems pointless, but I guess there’s nothing to lose. When I search the boards I see no indication that goodwill letters ever work with Chase.

81-month History.

2010 180 180

2009 180 180 180 180 180 180 180 180 180 180 180 180

2008 CO CO 180 180 180 180 180 180 180 180 180 180

2007 90 120 150 CO CO CO CO CO CO CO CO CO CO CO CO CO

2006 * * * 30 60 90 120 * * * 30 60

2005 * * * * * * * * * * * *

2004 * * * * * * * * * * * *

2003 * * * * * * *

The other information on the CR is:

Date opened: 07/2002

Date reported: 03/2010

Date of last Payment: 07/2008

Date Major Delinquency First Reported: 05/2007

Charge off amount: $910

Date of First Delinquency: 10/2006

Balance: $192

Amount Past Due: $192

Comments: Customer disputes this account information, Charged off account

If anyone is bored enough that you’re still reading this post, can I assume the whole trade line will drop off 7 1/2 years after the DOFD, 10/2006?

Re: Chase Charge-Off

llecs — Thu, 08 Apr 2010 21:14:11 GMT

You did the right thing. The lates will stop. You also stopped a CA from reporting if Chase ever sold the account. And you also stopped a judgment if they ever decided to sue, which I don't think they would have. Also a PIF TL is much better than a settled TL, per your FICO score and a PIF account gives you better odds in having any baddies removed. I'd ready an army of GWs and wait for it to update.

Re: Chase Charge-Off

MarineVietVet — Thu, 08 Apr 2010 21:16:56 GMT

If anyone is bored enough that you’re still reading this post, can I assume the whole trade line will drop off 7 1/2 years after the DOFD, 10/2006?

You are correct. That would make it 4/2014.