Removing a CO from a Joint Checking Account

[steveR]

I am hoping to get some guidance on how to remove a Charge Off (CO) from my credit report.  

When I moved in with someone several years ago, we opened a joint checking account that would was designed to pay our all of of our joint expenses like rent, utilities, etc.  Unfortunately, the relationship didnt work out and I moved out.  

However, when I moved out I failed to remove my name from the account.  With so many other things going on, it was pretty much forgotten.  I never had a debit card in my name (but the other person did) and once I moved out the online banking password was changed, so I stopped having access to the account altogether.  So its pretty easy to see why I would forget about the account. 

Well in August of last year, the credit union staarted to report that this account was no closed with a CO.  Each month it has been reporting a CO from this account that they closed.  I walked into the bank and they got me a copy of the statement on this account. I was hoping that it was simply an error, but looking at the history on the checking account it is not.  

There were a bunch of NSF Fees and debit card transactions on the account all made by the other owner on the account. 

However, since it is a joint account, it is being reporting on my CR despite the fact that I had no access to that account for about a year prior to these over draft charges.

I dont understand why the bank would of even allowed those transactions anyway, but how do I get this removed off my credit report?  What would you do?

Thanks

Steve

[JoeRockhead]

Sorry to hear about your troubles. In addition to the CO being reported on your credit reports, it's also almost guaranteed to be on your ChexSystems report as well. In addition, there's always the possibility of legal action by the CU and/or the account gets sold to a collection agency who will then also likely place a collections on your reports in addition to the CO.   

If you're even willing to pay the charges, you could approach the CU (someone there with the authority to accept a settlement and authorize changes in reporting) and politely explain everything you have here, as well as your desire to make things right. Ask them if there's any way they'd consider deleting the reporting (on your reports) if you paid the charges owed in full, or on a settlement where perhaps they're willing to waive, or reduce the NSF fees and other charges. 

Many times, CSRs and local managers will say there's nothing they can do (because the debt has been written off) which could very well be the case as they've written the charges off as a loss already. At that point, you can either take your lumps as a hard lesson learned, or you can continue to plead your case up the executive chain for a goodwill (GW) outcome with a nicely written letter laying out all the facts as well as your desire to make things right. This still may not get you anywhere, and unfortunately in the end, you're left with the fallout. 

Lastly, you might want to strongly consider speaking with a local qualified attorney to determine if you have any kind of legal recourse you could pursue, as there may be laws in your state that could benefit you.