topic Re: Correct reporting for a Charge Off in Rebuilding Your Credit

Correct reporting for a Charge Off

sbsgirl — Mon, 08 Mar 2010 17:21:46 GMT

I have read and read and read, but I am confused about how an OC can report a charge off. If they have it listed as charged off as bad debt are they allowed to increase the amount every month and report a past due balance? I read that they are not allow to report lates anymore, but I am not sure on the amount owed.

Re: Correct reporting for a Charge Off

Anonymous — Mon, 08 Mar 2010 17:31:55 GMT

Yes, the OC can increase the amount and report a past due balance.

Is this paid?

Where were you reading they could not?

Re: Correct reporting for a Charge Off

sbsgirl — Mon, 08 Mar 2010 17:50:18 GMT

I will look for the post I read. What I understood it to say was that they could not continue to report you were 30, 60 etc late if they have it as charged off.

Re: Correct reporting for a Charge Off

Anonymous — Mon, 08 Mar 2010 18:58:22 GMT

They can report a CO each month which is just, or not more, damaging.

As long as you owe them money they can report lates. A CO is an accounting term only.

Re: Correct reporting for a Charge Off

TimeOnMySide — Tue, 09 Mar 2010 01:55:15 GMT

As far as reporting a balance goes, the OC can continue to report a balance as long as they still own the acct. If they've sold it to a CA, then the CA has the right to report the bal. BUT the OC and CA cannot both report a balance for that acct. Also, I know what you're referring to regarding the lates reporting after CO ( I posted that question). I received an answer and it makes sense to me. Once the OC has marked your acct as a CO from that day fwd if they're going to report...they cannot report you're late. They're supposed to report CO.

Example. One of my accts was reporting to EX and EQ. It was CO in March 08.

EX had it correct: Feb 120 days late, March 08 CO, April 08 CO, etc.(they eventually stopped reporting).

EQ had it wrong: Feb 120 days late, March 120 days late, April 120 days late, etc. (And mind you, the acct status was CO). This is not correct. I asked the OC to fix it and report back to EQ. This hurts because the your FICO is adding up all these lates and factoring it into your score.

Re: Correct reporting for a Charge Off

Anonymous — Tue, 09 Mar 2010 13:31:43 GMT

The only time an OC has to report no balance is if they sold the account. If they still own it and only assign it to a CA both of them can report a balance.

If the account is CO and you still owe them money, they can report lates. It does not matter that it was CO'd. You still owe, you are still late and it can be reported as such.

@TimeOnMySide wrote:
As far as reporting a balance goes, the OC can continue to report a balance as long as they still own the acct. If they've sold it to a CA, then the CA has the right to report the bal. BUT the OC and CA cannot both report a balance for that acct. Also, I know what you're referring to regarding the lates reporting after CO ( I posted that question). I received an answer and it makes sense to me. Once the OC has marked your acct as a CO from that day fwd if they're going to report...they cannot report you're late. They're supposed to report CO.

Example. One of my accts was reporting to EX and EQ. It was CO in March 08.

EX had it correct: Feb 120 days late, March 08 CO, April 08 CO, etc.(they eventually stopped reporting).
EQ had it wrong: Feb 120 days late, March 120 days late, April 120 days late, etc. (And mind you, the acct status was CO). This is not correct. I asked the OC to fix it and report back to EQ. This hurts because the your FICO is adding up all these lates and factoring it into your score.