Paid CO showing as written off?????

[Brooklyn2018]

I had a CO with First Progress. I was told by FP that if PIF they would honor my GW adjustment. Well, they updated the CO as "Paid. Closed. $136 written off." What the heck, Man?? I paid the $136 as agreed and NOW it is showing that the account has been charged off in April AND May!!! When I PIF in FEBRUARY!!!

WHAT can I do about this?? Any advice would be appreciated.

TIA

[RobertEG]

Paid, closed is not a delinquency status.  

Paid, closed, was a charge-off, or paid, closed, xx written off is a proper reporting code that includes both the current non-delinquency status of paid, and the statement that the debt was charged-off prior to its discharge. 

[Brooklyn2018]

But...it updated on Ex as being charged off these last TWO MONTHS and that is not accurate!! I paid it in Feb....why is it showing CO Apr and May, then in payment history??? Am I not understanding something here? Is that how it gets reported, months later? My score dropped once it was out of dispute and listed as updated dates(months Apr/May). I was TOLD by CSR of FP to take it up with the CRA's...SO, I did.

Am I missing something, Robert??

[Brooklyn2018]

So, is that a better or worse status to be under, as far as reporting goes??

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@RobertEG wrote:

Paid, closed is not a delinquency status.  

Paid, closed, was a charge-off, or paid, closed, xx written off is a proper reporting code that includes both the current non-delinquency status of paid, and the statement that the debt was charged-off prior to its discharge. 

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[RobertEG]

The CO remains, after the debt is paid, under each month in the payment history profile that is was reported as a CO up to the month the debt was paid.  Showing of CO in the payment history profile is a delinquency status, and thus if it continues to show CO for any month after the debt is paid, that is inaccurate and can be disputed.

The current status (i.e., the status as of the date reported) of any updated reporting after the debt is paid must no longer be a delinquency status.  Any "Paid" status is a non-delinquency status, but can also include a special comment reference to the fact that is was previously charged-off.

Any reference to the CO must be removed no later than 7 years plus 180 days from the DOFD.

That includes any showing of CO status in the payment history profile, and any additional appendage of the comment that it was a charge-off that is shown after the status of Paid in the current status.

Thus, the current status of Paid, was charged-off, is provided for under the CRA reporting codes, and is not improper.

The reference to the fact that it was a charge-off can continue to be shown until the credit report exclusion of any reference to the CO has occured.

[Brooklyn2018]

Thanks, RobertEG!!!

I can always count on your advice. You always seem to put things in perspective when I'm unsure of the correct way of handling matters. You ARE a GURU and You ARE most appreciated!! THANK YOU!!