I got the below reply after emailing about a charge off on my credit, to me it doesn't seem like they are willing to work with me on deleting the negative notations since they are saying its up to the CRA which I KNOW they can change themselves. What should I reply? This charge off is from a credit union.
Thank you for your message. You are correct, the loan is reporting a “9” to the credit bureau. I understand that circumstances were beyond your control when you lost employment. At this point, the “9” prevails; however, you are also correct that this can be improved. Because the loan is no longer actively generating statements, it no longer reports on a monthly basis. XXXXX will report a paid in full status once the account is paid accordingly. You may want to consider contacting Equifax and inquiring about adding a narrative to your credit file. The narrative does not impact your score, but provides information to any underwriter or prospective creditor that may review your file. Ultimately, the information on your credit file is subject to the interpretation of each individual creditor. At this point, because the loan is no longer actively generating statements, it means that it also is not accumulating any more interest or late charges. Your payments will subsequently pay down your balance faster than a regular active loan. Please review your financial data and let me know what is the best strategy for your budget. You may make payments weekly, biweekly, semi-monthly, or monthly. For your balance of $331.88, I would recommend at least $25 per month and you will have paid this in full in just over a year’s time.
I dont interpret their letter as saying that the CRA has discretion to delete, or that you should ask them to do so.
They are simply advising you to submit a comment to your file if you disagree with the continued inclusion of their reporting.
I take issue with their advice, as the posting of a comment contesting reported information is only provided for under the FCRA after you have sent a formal dispute, and the dispute has been verified as accurate. You can then, after unfavorable resolution of an actual dispute, post a comment to your file.
If the issue is not one of inaccuracy of the charge-off, but rather a request for their GW deletion, sending anything to the CRA would not be appropriate. The CRA policy is that information should not be deleted based on payment of the debt.
Hopefully, they will reconsider and be more receptive to a GW request after the debt is satisfied. I would not involve the CRA in your private issue, or argue anything about their "advice." You want to retain their possible good-will. I would confine myself to issues with satisfaction of the debt.
I am not trying to have this deleted, what I want to do is pay it in full and have the negative notations taken off and they are saying the CRA has to take the negative notations off not them which I know to be false. Negative notations I am talking about are "charge off" and the lates on there, but my main cocern is the charged off getting removed.
Reporting of a charge-off is not a credit file "notation." It is the specific reporting of an adverse item of information by the creditor.
They are removed only upon dispute of their accuracy, by specific request from the party who reported the information, or upon expiration of their credit report exclusion period.
If you feel that the reporting of the charge-off is not accurate, then you should file a formal dispute, not address it as a "notation."
Thank you Robert, I was not sure of the proper wording for it. I have prepared a reply for them, I based it off a PFD on here so I'm not sure if it is appropriate for this but, either way let me know your thoughts. I am thinking about leaving out the 30-60-90+ days late part and focusing on just the charge off and collections.
I am willing to pay this account in full within six months if you agree to immediate deletion of adverse items (charge off, collections, 30-60-90+ days late) from any and all credit reporting agencies (Equifax, Experian and TransUnion) once account is paid in full as well as mark "paid in full" on all credit reporting agencies once full payment has been received.
Vystar Credit Union agrees to delete all aformentioned adverse items regarding this account from the credit reporting agencies WITHIN FIFTEEN CALENDAR (15) DAYS following receipt of last payment as specified above and will not discuss the terms of this settlement with anyone. If contacted by any third party, including credit-reporting agencies, Vystar Credit Union will not acknowledge that any settlement offer was made, accepted or executed and will, in fact, deny knowledge of any such account.
If you agree to the above terms, please prepare a letter on your company letterhead explicity agreeing to the same terms as the above settlement offer and have it signed by an authorized representative of Vystar Credit Union. It will be implied that this letter shall constitute a legally binding contract, enforceable under the laws of my state.
Also, would this be ok to send via email or should I mail in a copy?
I have sent successful emails as well as snail mail GW request.
Ok good deal! How does my reply look?
I received a reply back again from the CU, it is below. This particular person definitely is not willing to work with me on this. I don't see any point in paying off a debt that is nearly 3 years old if they aren't willing to work with me. Having it marked as paid in full with not increase my credit score the only thing it might do is change the mind of lenders in the future if they actually look at my credit report and not just my score which would probably require recon after applying since I can't even get approved for a secured card because of this collection.
However, VyStar Credit Union complies with the Fair Credit Reporting Act which mandates the reporting of accurate information. The information on your credit file is accurate and will not be deleted. VyStar Credit Union will report to all three credit reporting agencies that you have paid in full. Your balance will be reported as zero.
Do you think there would be any hope trying to get in contact with a supervisor or the consumer loan coordinator of the credit union?