@Anonymous wrote:
I am confused on an issue. If an account is listed as charged off but is only listed under the original creditor and shows a balance, does that mean that it has not be sold to a collection agency? Is this better than if it is listed as placed with collections in terms of the FICO score or does it really not matter much.
As far I know, they're equally bad.
BUT charge-offs play a role in determining your credit utilization. Charged-off CCs are seen as "maxxed out" credit cards. FICO likes to see *low* utilization.
AFAIK, if it shows a balance, it means that the OC still holds the debt and while they may have contracted collecting the debt to a CA, they've not sold it.
