timeline for negatives to fall off

[Anonymous]

Hello I completed and was discharged from chapter 13 bk in jun of 2014 and I'm recently been cleaning up credit. 2 questions

1. I have a few negative accounts showing charge off before bk and they were discharged in my bk and so i disputed to get it to show included in bk but the dispute came back verified. I don't understand... whether or not the charge off was before bk shouldn't it show included in bk since that's the correct information?

2. if i left them alone and decided to let them fall off i heard that they stay on for 7yrs and 180 days after ur first 30 late. Is that correct and if so i noticeid that some accounts we reported with the date of late but that same account didn't report late history to a different bureau. so when does that fall off and can i dispute for missing information?

in closing for ex if an account showed late 10/2009 is it supposed to fall off my report 10/16 or 11/16 or 7yr plus 180 days so 5/17?

thanks evveryone for any help in advance.

[Anonymous]

I can't answer the bk question, but negatives fall off 7.5 years from the DoFD. CRA's generally exclude them at 7 years from DoFD. In order to know what the DoFD is you'll need to look at the actual reports not reports from a monitoring site

[RobertEG]

If a debt was discharged by the BK, then the charge-off would still remain, but the current status must show discharged under BK, and the current balance must show $0.

If they do not, then yes, you can dispute the accuracy and get it corrected.

Howver, that will not result in removal of any derogatory information.

All derogs do not "fall off" based on a single date of first delinquency.

Any monthly delinquencies have their own indvidual exclusion dates of no later than 7 years from their own dates of occurence.

DOFD only pertains to the exclusion of a collection or charge-off.

If a creditor chose not to report derogs to a CRA, then there is no issue of exclusion of somehting that is not included.

A creditor is not requried to report each derog on their account.

[Anonymous]

Ok thanks guys. So if no derogs are on the report what date do I go by then when to expect it to fall off?

[RonM21]

Welcome Benzo. If there are no derogs on the report, there isn't anything that needs to fall off.

[RobertEG]

FCRA 605(a) defines when derogatory items reported to a CRA must cease to be included in credit reports issued by a CRA.

Accounts themselves are not derogatory or adverse items of information, they are the containers within which derogatory information can reside.

Thus, with a few exceptions, accounts are not deleted based on any exclusion provisions of the FCRA.

Exceptions are collections, some accounts with a reported charge-off, and very old, closed accounts.

Collections are not accounts of a consumer, they are considered under the FCRA to be derogs in and of thenselves, and thus they do become excluded in their entireity no later than 7 years plus 180 days from the DOFD on the OC account.

Very old, closed accounts are not deleted based on any requriment of the FCRA, but rather based on administrative housecleaing policy of the CRAs.

They choose to delete old accounts that have been closed for approx. ten years, under thier assumption that others no longer consider such accounts to have risk assessment value.

That leaves accounts in which the creditor has reported a charge-off.  The wording of FCRA 605(a)(4) indicates accounts that have been charged to profit and loss are excluded, not simply the CO itself.   Thus, it is often a bit more than just exclusion of a reporte CO, as if a debt remains unpaid on a charted-off account, it is still showing derogatory information, which requries its exclusion under the separate provision of FCRA 605(a)(5).

CRA policy is thus to exclude only the reported charge-off and not the entire account, if the account is brought back into good standing after the CO, but to remove the entire account if the delinquency remains at 7 years plus 180 days.

Thus,, the removal of accounts as opposed to only derogs reported under an account is handled differently based on the above factors.

[Anonymous]

Ok I'm really new to this so thanks for your patience but now I'm a bit confused. I'll use my eq fico 8 as an example. My score is 684 and based on credit factors every category except payment history is considered very good. When I dive deeper into that category it shows 9 accounts with late payments over 60+ days and 34 months since last late payment. So diving even deeper one account for example shows closed status $0 balance charged off as bad debt this was before my ch 13 so I believe they can report it but for how long since I have no reported late payment. I'm trying to get my score at 700 because I want to buy a house soon and with homes avg 700k and up here I need all the savings I can find. Thanks again guys

[RobertEG]

The account has a reported charge-off

Charge-offs have their own defined exclusion date under FCRA 650(a)(4), and would become excluded no later than 7 years plus 180 days from the DOFD.

There is no need to also have monthly delinquencies, which would simply be additional derogs to become excluded.

Whether or not the CRA excludes only the charge-off and thus considers the account to otherwise become adverse-free is their determination.

Since it only shows $0 balance, that does not mean it was paid, so they may conisder the accunt itself to still be adverse, and exclude the entire account.

Regardless, the CO will no longer be included in scoring once the exclusion date is reached.