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Removing entire TL vs. late payments?

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Anonymous
Not applicable

Removing entire TL vs. late payments?

So I just started this credit repair journey...thanks to reading all of your wonderful posts Smiley Happy

 

Here's my issue...I have 5 old store accounts (old navy, bestbuy, chase, victoria secret, and macys) all about 6 year old accounts that have all been paid in full for 4 or more years. However, they all have 1-2 late 30days, or 60 days on them.

 

With everyones help I have contacted all of them with goodwill letters and today contacted Chase and they said they would remove the entire account as if it never existed, but could not take the negatives since they were reported accurate. So I took the choice to remove it completely.

 

But now I am nervous because I have read alot about how closing accounts and removing them completely can damage the credit score more? Should I leave the negatives...or remove the accounts completely?

 

Thank you!

Message 1 of 14
13 REPLIES 13
AndySoCal
Valued Contributor

Re: Removing entire TL vs. late payments?

Are the accounts you are referring to closed ? Keep in mind  the impact of late payment  lessens as time passes on your FICO score. 

FICO Scores XPN v8 802 V2 831 (SDFCU) TUC 803 v8 EFX 807 (10/2023)
Discover 09/90 19,000, JCPenney 10/2008 4,700 US Bank Cash+ 12,000 Citibank Custom Cash 5/2015 11,100 C State Dept. FCU 15,000 06/2023 , 02/2024 Redstone FCU Signature VISA 10,000 Banking: Ally Bank Credit Unions: Lafayette FCU Quorum FCU State Department FCU State Department FCU Pelican State CU Redstone FCU

Message 2 of 14
Anonymous
Not applicable

Re: Removing entire TL vs. late payments?


@Anonymous wrote:

So I just started this credit repair journey...thanks to reading all of your wonderful posts Smiley Happy

 

Here's my issue...I have 5 old store accounts (old navy, bestbuy, chase, victoria secret, and macys) all about 6 year old accounts that have all been paid in full for 4 or more years. However, they all have 1-2 late 30days, or 60 days on them.

 

With everyones help I have contacted all of them with goodwill letters and today contacted Chase and they said they would remove the entire account as if it never existed, but could not take the negatives since they were reported accurate. So I took the choice to remove it completely.

 

But now I am nervous because I have read alot about how closing accounts and removing them completely can damage the credit score more? Should I leave the negatives...or remove the accounts completely?

 

Thank you!



If the accounts that you had removed completely were among your oldest accounts you can expect your score to go down quite a bit due to the hit your AAoA (and utilization percentage) will take.  If an account is in good standing but has a few lates on it, it's always better to remove the lates than to delete the entire TL.  If the OC won't remove the lates, you have to take AAoA and the age of the lates into consideration.

Message 3 of 14
Anonymous
Not applicable

Re: Removing entire TL vs. late payments?

The chase one i had removed was late about 2 years ago....it was a closed account because it was inactive for these past 2 years, meaning i havent used the card since i paid it off. But it had the most lates (5 -30days).

 

So if they are older and have 1 late on them it is probably better to keep them open and keep the one late payment then remove the entire account?

 

This making me nervous that i sent all of these goodwill and then they may remove all of the accounts and end up hurting me :/

Message 4 of 14
Anonymous
Not applicable

Re: Removing entire TL vs. late payments?


@Anonymous wrote:

The chase one i had removed was late about 2 years ago....it was a closed account because it was inactive for these past 2 years, meaning i havent used the card since i paid it off. But it had the most lates (5 -30days).

 

So if they are older and have 1 late on them it is probably better to keep them open and keep the one late payment then remove the entire account?

 

This making me nervous that i sent all of these goodwill and then they may remove all of the accounts and end up hurting me :/


Yes, old accounts help your score a lot, while old lates aren't that bad.  Maybe you can talk to them before they delete the accounts.

Message 5 of 14
winstars
Regular Contributor

Re: Removing entire TL vs. late payments?


@Anonymous wrote:

@Anonymous wrote:

The chase one i had removed was late about 2 years ago....it was a closed account because it was inactive for these past 2 years, meaning i havent used the card since i paid it off. But it had the most lates (5 -30days).

 

So if they are older and have 1 late on them it is probably better to keep them open and keep the one late payment then remove the entire account?

 

This making me nervous that i sent all of these goodwill and then they may remove all of the accounts and end up hurting me :/


Yes, old accounts help your score a lot, while old lates aren't that bad.  Maybe you can talk to them before they delete the accounts.


I had an Chase CC account opened in1994 with 30/60/90 lates on it from 2006 and closed that same year. After much thinking, I made the CEO of Chase move and they deleted the entire tradeline as they seem to have been doing recently for others here.. My concern about losing all that AAofA was ill advised however, my 3 scores went up like an average of 55 points EACH after deletion. The scores are FAKO's, since I have one more thing to do to my reports before I bother to get (pay for) my real FICO scores, TU and EQ respectively. After reading up more on this subject, I am now convinced that the 60 and 90 day lates were poison on my CR's despite the age of 5+ years. So it seems to me that if you have 60's and especially if you have 90's on your CR's, you should try to get them off somehow. I understand the losing the age of the accounts , maybe for 30's only. But anything higher, at least for me seems like a no brainer. Or in my case try not to get  them in the first place!!!



Starting Score: TU-685 (FICO) EQ-674 (FICO) EX-713 (PLUS SCORE FAKO)
Current Score: TU-800 (FICO) EQ-812 (FICO) EX-800 (PLUS SCORE FAKO)
Goal Score: 815


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Message 6 of 14
Booner72
Senior Contributor

Re: Removing entire TL vs. late payments?

You know, I'd have to think that having the lates gone would be better for your score than an long-standing tradeline w/ negatives.  Think about it - people with only a year of credit with no derogs have much better scores than people (like me) where my oldest account is 12 years old, but I'm tapped out right now at 628 and I don't think I can get much higher bc of all the crap on my reports I can't get rid of.

 

I also just added THREE new accounts (Walmart/CU Visa/CU OD Line of credit) - my AAoA went from 6 years to 4 years, and my score only moved down seven points.

 

I think that clean credit far outweighs length of credit.   Wait and see what happens to your score and let us know.  Then you can decide whether to get rid of the others if the option arises for you.  Good Luck!!

STARTING: 11/24/10 EQ-584 EXP-648 TU04-595
CLOSED FIRST HOME 8/19/11 EQ-630 EXP-691 TU04-653
CURRENT: EQ-701 EXP-??? TU08-720
Message 7 of 14
winstars
Regular Contributor

Re: Removing entire TL vs. late payments?


@Booner72 wrote:

You know, I'd have to think that having the lates gone would be better for your score than an long-standing tradeline w/ negatives.  Think about it - people with only a year of credit with no derogs have much better scores than people (like me) where my oldest account is 12 years old, but I'm tapped out right now at 628 and I don't think I can get much higher bc of all the crap on my reports I can't get rid of.

 

I also just added THREE new accounts (Walmart/CU Visa/CU OD Line of credit) - my AAoA went from 6 years to 4 years, and my score only moved down seven points.

 

I think that clean credit far outweighs length of credit.   Wait and see what happens to your score and let us know.  Then you can decide whether to get rid of the others if the option arises for you.  Good Luck!!


Definitely!!!



Starting Score: TU-685 (FICO) EQ-674 (FICO) EX-713 (PLUS SCORE FAKO)
Current Score: TU-800 (FICO) EQ-812 (FICO) EX-800 (PLUS SCORE FAKO)
Goal Score: 815


Take the FICO Fitness Challenge
Message 8 of 14
Anonymous
Not applicable

Re: Removing entire TL vs. late payments?


@winstars wrote:

@Anonymous wrote:

@Anonymous wrote:

The chase one i had removed was late about 2 years ago....it was a closed account because it was inactive for these past 2 years, meaning i havent used the card since i paid it off. But it had the most lates (5 -30days).

 

So if they are older and have 1 late on them it is probably better to keep them open and keep the one late payment then remove the entire account?

 

This making me nervous that i sent all of these goodwill and then they may remove all of the accounts and end up hurting me :/


Yes, old accounts help your score a lot, while old lates aren't that bad.  Maybe you can talk to them before they delete the accounts.


I had an Chase CC account opened in1994 with 30/60/90 lates on it from 2006 and closed that same year. After much thinking, I made the CEO of Chase move and they deleted the entire tradeline as they seem to have been doing recently for others here.. My concern about losing all that AAofA was ill advised however, my 3 scores went up like an average of 55 points EACH after deletion. The scores are FAKO's, since I have one more thing to do to my reports before I bother to get (pay for) my real FICO scores, TU and EQ respectively. After reading up more on this subject, I am now convinced that the 60 and 90 day lates were poison on my CR's despite the age of 5+ years. So it seems to me that if you have 60's and especially if you have 90's on your CR's, you should try to get them off somehow. I understand the losing the age of the accounts , maybe for 30's only. But anything higher, at least for me seems like a no brainer. Or in my case try not to get  them in the first place!!!


 

Was that 1994 account one of your oldest accounts?  What was your AAoA before and after you had it removed?

Message 9 of 14
Anonymous
Not applicable

Re: Removing entire TL vs. late payments?

Say you have 2 TL.  One is 10 years old, the other is 6 months old.  If you have three 9 year old lates on that 10 year old account, it's better to keep them than to delete that TL.  Why would you want to erase 10 years of credit history, 9 years of GOOD history just to remove some lates?  Obviously it's different if you've got 3 10 year old accounts and one has three lates on it.  Removing one of the accounts doesn't hurt your AAoA at all and it removes the lates.

 

It's not accurate to say lates affect your score more than AAoA based solely on your own experiences because your overall history is probably nothing like the OP.

Message 10 of 14
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