Chase re-aging question

Anonymous · ‎09-11-2015

Before I found this forum, I disputed a Chase Charge off and they responded by re-aging to show a date 8 months later. Now that I know more about credit, etc, I'm thinking that the date should not have been changed. Isn't the DOFD set in stone? Chase has been reporting the charge off monthly, so it's been hurting my utilization. Didn't they just get in trouble for unfair debt practices? I haven't made a payment on that account for 4 years and they report me as late every month. It just sounds shady to me. Has anyone had success having an account like that removed? Thanks

gdale6 · ‎09-11-2015

@Anonymous wrote:
Before I found this forum, I disputed a Chase Charge off and they responded by re-aging to show a date 8 months later. Now that I know more about credit, etc, I'm thinking that the date should not have been changed. Isn't the DOFD set in stone? Chase has been reporting the charge off monthly, so it's been hurting my utilization. Didn't they just get in trouble for unfair debt practices? I haven't made a payment on that account for 4 years and they report me as late every month. It just sounds shady to me. Has anyone had success having an account like that removed? Thanks

Reaging is moving the DoFD and you are correct its a set in stone date but this has nothing to do with updating monthly as that is perfectly legal, its a weapon they have to attempt to force you to deal with them. Reporting it monthly keeps your Fico score depressed as it looks brand new in the eyes of Fico even though it actually happened 4 years ago.

RobertEG · ‎09-11-2015

They are permited to report monthly on all delinquent accounts provided they still own the debt.

Their reporting, while not reflecting any changes in status, is an "update" in the sense that it positively informs others of the continued status, even though unchanged.

It is perfectly proper.

When the curent status of an account shows as a charge-off with a debt balance, it is time to seriously ponder payment of the debt in order to avoid additonally, derogatory reporting and to remove the debt from continued effect on % util if it is a revolving account.

After a creditor charges the account to profit and loss, the consumer continues to owe the entire debt. The creditor will often then either assign collection assistance to a debt collector, or sell the debt to a debt collector, thus retrieving a bit more of their loss.

In either event, the debt collector can then report a collection, adding another major derog to your credit report.

The collection will then also remain until excluded from your credit report.

Anonymous · ‎09-11-2015

I have been thinking about contacting them to try to settle it. I though about PFD but I doubt they would do that if I settle.

gdale6 · ‎09-12-2015

@Anonymous wrote:
I have been thinking about contacting them to try to settle it. I though about PFD but I doubt they would do that if I settle.

I would settle it just to stop the monthly updating even if you cannot get the PFD, it needs to start aging so your Fico can recover. Paid COs always look better in a human underwriters eyes than one that is still unpaid.

Anonymous · ‎09-12-2015

Ok, thanks.

RobertEG · ‎09-12-2015

Reporting of a charge-off is, in essence, the placing in a consumer credit file of the determination by the creditor that the consumer is unlikely to pay the debt.

Stated differently, the creditor expects the consumer is going to stiff the debt.

That is never a favorable factor in a manual review of a creditor considering lending to you.

However, if the consumer does subsequently pay the debt, it shows that the consumer was going through a temporary tough time, but does meet their prior debt obligation when the short-term obstacles are overcome. It kiinda negates the bad impression........

Anonymous · ‎09-12-2015

@gdale6 wrote:
@Anonymous wrote:
I have been thinking about contacting them to try to settle it. I though about PFD but I doubt they would do that if I settle.
I would settle it just to stop the monthly updating even if you cannot get the PFD, it needs to start aging so your Fico can recover. Paid COs always look better in a human underwriters eyes than one that is still unpaid.

Also a paid CO does not hit your UTI%....

Anonymous · ‎09-12-2015

Those are good points. The UTI reporting is keeping my scores low, so that's why I figured that I had to get this resolved. If I settle it for less than the amount owed, will the accoubt show 0 once the settlement amount has been paid?

Anonymous · ‎09-12-2015

@Anonymous wrote:
Those are good points. The UTI reporting is keeping my scores low, so that's why I figured that I had to get this resolved. If I settle it for less than the amount owed, will the accoubt show 0 once the settlement amount has been paid?

It should, though some creditors will try to weasle out of doing that.