How are closed accounts affecting my credit score?

Anonymous · ‎03-23-2020

Good morning peeps!

So I have a few closed credit card accounts on my credit report. I have a balance on them and late payments. Neither of these have went to collections and they've been closed over a year. What I've noticed is that my overall credit utilization is at 0% and my payment history is at 100%. So it's as if they are not affecting my credit. I'm sure that's not possible though. They are all "Charged off as bad debt". So my question is: How are these negatively affecting my credit even though I can't see any affect on my payment history or utilization?

AllZero · ‎03-23-2020

@Anonymous Which CMS Credit Monitoring Service are you using? Usually, there are delinquencies leading up to the charge off, e.g. 30, 60, 90,120, etc day lates. Have you noticed a FICO score decrease? The charge off is a derogatory and is definitely impacting your FICO score.

Anonymous · ‎03-23-2020

I'm using Experian and Credit Karma.

FireMedic1 · ‎03-23-2020

@Anonymous wrote:
I'm using Experian and Credit Karma.

That might be the reason. Grab your FICO's from experian.com. Pay $1 and cancel before the trial ends and report back.

gorgon · ‎03-24-2020

@FireMedic1 wrote:
@Anonymous wrote:
I'm using Experian and Credit Karma.
That might be the reason. Grab your FICO's from experian.com. Pay $1 and cancel before the trial ends and report back.

+1 And just to add a data point, Credit Karma also says I have 100% payment history even though I have seven lates on each report. The reason is that CK does not factor closed accounts in the on-time payment percentage from what I can tell.