Dispute update issues

[Kelly516]

Good afternoon all. Been lurking and rebuilding for awhile, first time posting. I have several paid/settled charge offs. I noticed a couple were reporting $0 balance but still had the status as "charged off/in collections" my others showed paid/settled charge off or paid less than full balance and show $0. So I did a dispute saying these were settled and paid. Just got the updates and they did in fact up date the status to paid. Now all my "on time" payments have updated to "unknown" with the 30/60/90 staying the same at the end (charge off). This has dropped my score -10 points. Any reason they would update the payment history? I only questioned the incorrect status.  

[JoeRockhead]

This is the unfortunate consequence of disputing accurate information.  The reporting as it was, was accurate.  The most important part of that was the status of charged off, and the balance being reported as zero.  The notations of "settled for less than full amount" have no bearing whatsoever on scores.  

What likely happened during the dispute/verification was the lender didn't verify past on-time payment history, but did verify the charge off status, and the zero balance.  

The ding on your scores was likely caused by either your positive payment history being wiped out and/or the recency of the CO reporting.

I don't know that you could do any more damage by disputing the inaccuracy of the missing positive payment history in an effort to have it restored so it might be worth a shot. 

[Kelly516]

Yeah that's the thing, I thought I was disputing inaccurate status. It's been a few months the others updated and these did not. I'll wait a month or so and if the payments don't update I'll try to dispute the payment history. After that I'll leave it alone lol. From 820 fico to 500s post divorce was tough. Finally getting back into good standing and seeing the 700s I thought I was helping myself with the dispute 😬