Charge off suddenly counting towards utilization?! Help!

[I-think-I-can]

Hi everyone...hoping someone can help me.

I just purchased another 3b and suddenly a 6 year old charge off from BOA is being calculated into my utilization.  The status of the account was recently changed from charge- off open to charge-off closed, "account closed at consumer's request" ( I did not request the closure).   I am completely bewildered as to why this old debt is NOW being calculated into my utilization. 

Luckily I just increased my available credit by more than 20K in the last few months...so the damage is offset by that...but it is extremely irritating nonetheless.  I cannot help but think that this whole thing is not a coincidence...two out of my three scores were near the 700 mark, I was able to get some pretty decent new credit after only having rebuilders and storecards for all of these years..,and now, out of the blue BOA changes the status and now EQ and EX are counting this old debt against my utilization..something is fishy for sure!  Has anyone seen this?  Is there anything I can do?  Do I just wait it out?  Is this going to escalate into something even worse?  It is due to fall off next summer. My saving grace is the account is not listed on TU...so that is the one bright spot I guess. (Gracious knows I needed one! ) 

To clarify the situation: this debt was the beginning of the end of me in 2008...which led to me losing everything in 2009.  I had rebuilt my credit after my divorce and like many others during that time, banks were very open with credit...not that I didn't deserve it, but I had some high limits for sure.  Long story short, I let a close family member borrow my credit card (yes, I know that was stupid, but I NEVER IN A MILLION years would have thought this person would do me wrong)..and well, they ran up over 10k...my monthly payments went from like $40 bucks to almost $400 bucks a month just to keep the card alive...the default interest rate drove me into the ground.  I literally paid that card for over a year at the insane rate and never made a dent..meanwhile, my job cut back on overtime, I barely made enough to keep a roof over my head for my children and myself and I had to let everything go.  That stupid BOA account was the last thing to go before my car..,because I took that credit card as my sign that I had finally rebuilt after my divorce..that I could do it on my own, that we would be okay...and I struggled to keep that "symbol" alive for as long as I could.

I don't know if there is really anything that I can do, but if anyone has any advice it would be greatly appreciated.  This forum has been a wonderful resource to me...and like I have said many a time...I wish I had found it sooner!

[RobertEG]

It was not the update of closed that caused the inclusion in % util.

Closed simply means you can no longer use the card, which was inherent whent he charged off the debt.  It was simply a formality update.

A charge-off does not affect continued obligation for the entire debt, and thus reporting of a CO does not remove it from your util scoring.

Unpaid debt is included in your % util scoring regardless of whether the account is open or closed or has been charged-off as long as the account shows a balance and a credit limit.  

[I-think-I-can]

Thank you for your response! I guess I am just wondering why it is on this newer report but wasn't on the one I purchased in February...strangest thing really!  Luckily my utilization was only 7% (non-charge off related) and I just paid it down to less than 1%...so even with this charge- off all of sudden reporting, I am still under 30%, sigh. 

I guess I will just have to be patient and try not to be upset about it for the next year ... Let patience have it's perfect work!