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Discover Loan Charge Off Balanace Decrease

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Anonymous
Not applicable

Discover Loan Charge Off Balanace Decrease

I have a Discover loan charge off from 2017. The balance of the charge off was about $1800 and has been reporting as such since 2017. Just this month, according to my reports, the balance of the charge off was changed to about $700. I have not made any payments to this account.

Can anyone offer any ideas on why the charge off balance has suddenly/randomly decreased?
Message 1 of 3
2 REPLIES 2
Anonymous
Not applicable

Re: Discover Loan Charge Off Balanace Decrease

I would call them and see if the balance decreased to 700. If it did I would py that if they were able to offer you a settlement agreement in writing first. Good luck!😁
Message 2 of 3
RobertEG
Legendary Contributor

Re: Discover Loan Charge Off Balanace Decrease

Perhaps the orginal debt balance at time of their taking the CO was incorrectly reported, or perhaps the updated amount is inaccurate.

It is also possible, but probably unlikely,that the amount of the debt at time of charge-off has been partially cancelled by the creditor, thus resulting in a new debt balance without the consumer having paid anything.  

 

You will need a reconciliation of the actual debt balance under the terms of your loan agreement in order to determine what the acutal debt balance is.

I would contact the creditor and ask for their explanation.......

 

 

Message 3 of 3
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