Affect of Closing an Account?

[wahmom]

As some of you may know from my rants and ramblings yesterday, I have a current installment account that was opened in 5/07. I have tried to dispute & GW 5 inaccurate 30 day lates but to no avail. Yesterday, EQ updated the account's current status from pays as agreed to 30-59 days past due. The account is not past due. I have my receipt to prove it and the oc verified with me today on the phone.

After speaking with EQ and the OC today, I accomplished nothing. So I have applied and been approved for another installment account to pay out the evil one. I decided to close it because nothing prevents them from falsely reporting me late again.

My question is will this have any negative impact on my score?

[wahmom]

just a little bump...

[Anonymous]

I'm looking forward to the answer here, as I'm considering doing the same.  Only major differences are that mine was opened in 7-07 and the creditor isn't evil, I just HATE the interest rate & am hoping to re-fi and have enough additional to PFD a few others.

[guiness56]

If it is showing as currently 30-59 days past due, yes it will hurt your score. And it will stay on your CR for 7 years as a negative account.

Have you tried to dispute it with the CRA. Not on the phone but an online dispute. If it comes back verified I would almost bet they are relying on an automated system and not speaking with the OC. As you stated, the OC has verified that you have never been late.

I would almost bet that the tape the OC sends the CRA is incorrect and needs to be corrected.

If it comes back verified I would send an OC letter and request they fix their mistakes or you will follow up with an ITS. Inaccurate reporting is a violation of the FCRA.

[Anonymous]

I recently disputed two accounts that were reporting open, but should be closed. I tried to get the creditor to update, my local office was sending in request to corporate(who does the reporting) but corporate wasn't taking care of it.

When those two accounts reported closed my EQ went up 3 points. They were old accounts.

However, know that when you open a new account you will get dinged for inquiry and new account. The new account will lower your average age.

[wahmom]

Thanks, the age is something to think about but I think I'll recover. I have a closed Amex from 03 that I will soon be PIF and getting the Oasis with the history so I think that will make up for it.

Plus I initially lost 35 points when they changed to 30-59 days past due. However the last late that is reporting is in Feb. So if they don't change the status back to pays as agreed will it have much affect since the account will be paid and closed?

[Anonymous]

What kind of documentation do you have???...is it sufficient enough for you to fax...or mail to the CRAs...

[wahmom]

Yes it is. It's an exact copy of the OC records that shows the account is current. And also my last receipt showing that my next payment is due 8/1/08. I faxed it to EQ to one of the numbers I found on here after I got off the phone with the idiot csr. She told me she was disputing the account but it still doesn't show up as in dispute today.

[Anonymous]

If you sent the documentation after the dispute...it will be 45 days...not 30...just wait and see what happens...documentation is ALWAYS better...than disputing by ohone...or over the internet...

[wahmom]

UPDATE: I finally got EQ to remove the late pays that were showing but the status still showed currently 30-59 days past due. I figured that since I paid the OC off completely and they update on the first of the month then that status would change since the balance would be zero and everything would be fine.

Well today I pull dh reports and the account is gone! I don't know what happened. I don't know if EQ deleted the account or if the OC requested that they delete it. I did ask the OC to delete after I paid them but they refused. I'm not sure what happened. Normally it would take until about the 7th or the 8th of the month for EQ to update the account so that is why I'm not sure who deleted.

If EQ deleted, when the OC updates will they just reinsert the account? I'm confused........

P.S. DH's EQ fico went up 50 points today without the account being listed!!!