topic Re: KD - Key Derogatory questions... in Rebuilding Your Credit

KD - Key Derogatory questions...

Anonymous — Wed, 22 Aug 2012 16:34:24 GMT

Since I have been going through my credit file with a fine tooth comb - I have noticed that I have 3 paid collections that are still being reported as KD, or key derogatory. This has been the case for the last 3 months. Now these collections have been paid since Feb 2012. I see this mainly thru Experian.

Disputes come back verified, and calls, letters, emails to the OC all come back with a "sorry about you're luck, we aren't changing it" answer.

I finally spoke with someone at Experian who admitted that since the accounts are paid with a zero balance - that they should not be reporting as KD, or even as collection. If anything she said it should be "paid collection".

So can CAs and OCs report paid collections as KD legally?

Re: KD - Key Derogatory questions...

Shogun — Wed, 22 Aug 2012 17:05:11 GMT

Needs to at the very worst say Paid/Closed. If you have problems with this, contact the BBB. They are very good at getting them to fix things.

Re: KD - Key Derogatory questions...

Anonymous — Wed, 22 Aug 2012 17:22:01 GMT

Are you saying there can be no kd at all once its been paid? I have a paid collection that shows KD from the time they aquired it, every single month, until the time it was paid. So its showing 18 months of KD. Is this innacurate?

Re: KD - Key Derogatory questions...

Shogun — Wed, 22 Aug 2012 17:27:56 GMT

I don't think CA's can report KD at all. Not as far as a monthly thing. I had one that tried it on mine, called them on it and they deleted the TL.

Re: KD - Key Derogatory questions...

Anonymous — Wed, 22 Aug 2012 18:40:38 GMT

Here's the way I understand it, although I am a layman and could very well be wrong. Reporting KD monthly indicates an account history, and since a CA is not a creditor and you have no signed credit agreement with them, then they cannot report account history or monthly terms. Again, I could be way off on that.

Trident Asset Management, Diversifed Adjustment, Midland - all report KD on mine. After the debts have been paid in full. Also my state student loans continue to report monthly KD even though they were paid in full as a collection in March 2012.

Re: KD - Key Derogatory questions...

Anonymous — Thu, 23 Aug 2012 17:43:51 GMT

Why would KD show up all of a sudden? My husband has a CA acct that was paid in full last november, and they started reporting KD then. It doesn't show anything from july or august, but it does 11/11-5/12.

Re: KD - Key Derogatory questions...

Anonymous — Thu, 30 Aug 2012 16:42:39 GMT

I think this a trick CA's use to get people to pay, or to bring down scores.

Re: KD - Key Derogatory questions...

Anonymous — Thu, 30 Aug 2012 23:22:42 GMT

How do you know if it's KD? I am not seeing it on my CR, or perhaps I'm overlooking it?