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Chargeoff and Credit Rating Fix. - The Bills.com Blog
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Chargeoff and Credit Rating Fix.
Monday, Apr 23, 2007
Question: My credit report shows 2 same entries for the same amounts the first was a charge off that was due to go off my report shortley but at the last minute the original company sold it to a cnother collection agency. First, can they show this twice on my credit report giving the appearance I owe twice the amount and secondly, does this mean this can go on and on as far as when I think it is about to max out at 7 years when it should come off my report they sell it to yet another collection agency and it stays on my report for another 7 years again?
cannot legally change the information regarding the date of last activity on your account, which dictates when an account will fall off your report. Date of last activity is based on when you made your last payment or purchase on the account; one creditor selling the account to another is not considered “account activity” in the sense that it does not reset the clock for the account falling off your credit report. You can read a summary of your rights under the Fair Credit Reporting Act, the federal law governing credit reporting, at http://www.ftc.gov/bcp/conline/pubs/credit/fcrasummary.pdf
If any creditors are reporting inaccurate information to the credit bureaus, you may want to file disputes with the bureaus. First, you need to pull a copy of your report from each
If any creditors are reporting inaccurate information to the credit bureaus, you may want to file disputes with the bureaus. First, you need to pull a copy of your report from each
of the three bureaus; you can obtain a free copy of each credit report once every 12 months at www.annualcreditreport.com
Once you have a copy of each report, carefully review them for any information that you feel is inaccurate, then file disputes with the appropriate bureaus. Each credit bureau has a process for disputing inaccurate information, which can usually be done online. The Federal Trade Commission offers a helpful guide to disputing items on your credit reports, available at http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre21.htm
For more information about credit scoring, credit reports, and how they affect you, I encourage you to visit the Bills.com Credit Resources page at http://www.bills.com/credit-solutions/
I hope this information helps you Find. Learn. Save.
Best,
Bill
www.bills.com
Once you have a copy of each report, carefully review them for any information that you feel is inaccurate, then file disputes with the appropriate bureaus. Each credit bureau has a process for disputing inaccurate information, which can usually be done online. The Federal Trade Commission offers a helpful guide to disputing items on your credit reports, available at http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre21.htm
For more information about credit scoring, credit reports, and how they affect you, I encourage you to visit the Bills.com Credit Resources page at http://www.bills.com/credit-solutions/
I hope this information helps you Find. Learn. Save.
Best,
Bill
www.bills.com
Also, make sure to get a free financial health check-up with Bills IQ!
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1. Posted by Bruce Singer on Wednesday 30th May 2007 16:22
If I elected to use Bills.com to lower my debt and start getting me out of credit card debt, what will happen to my credit score? Does it show as a negative? Will it stay on my credit history for seven years or more?
2. Posted by chef dan on Monday 4th June 2007 10:27
i have some charge off 's can you give me some info on thiss
3. Posted by Bill on Monday 4th June 2007 11:02
Chargeoff is an accounting term, meaning that your creditors have not been paid in over 180 days... at which point they must 'charge-off' the debt and take it as an accounting loss. This is reported (frequently as an "R9" status) on your credit report.
4. Posted by Laura on Sunday 7th December 2008 12:54
A large collection agency who is calling themselves a servicer for a second creditor (sold account from original creditor who was listed on back - barely legible, I cannot make out account number) who I do not recall owing them money and who I cannot find on any of the big three credit reports I just received, has sent me a notice saying I owe them money. What is a servicer? What if account was sold to someone else in between and I just didn't recognize name? All bills are up to date. There is nothing in the amount that they want that I even owe except for a car payment which is higher. I will write a 30-day letter but I am concerned about about this landing on credit letter and the fact that the collection company is calling themselves a servicer and I don't want to make this into a debt if I do a 30-day letter. It does have the language of notifying them in 30 days so I will. What is a servicer? Is that new language? And what about anything showing on any of my credit reports that relate to any former creditor or present creditor that they refer to? Any help much appreciated!
5. Posted by Bill on Monday 8th December 2008 15:39
A servicer is a third party that quite literally services the loan, which really means that they send billing statements and collect payment for a fee. It can also mean that they can be in charge of collections if you go delinquent. You could send them what is called a "Validation Letter" and ask them to validate the debt, both proving that it is you who owes the debt and what the basis of the loan is. Good luck.
6. Posted by nathaniel on Tuesday 10th March 2009 15:58
when a charge off is in or sold to a colletions.does the charge off still remain on my credit report.exspecailly if im now paying that same account with collections.
7. Posted by Bill on Tuesday 10th March 2009 16:20
Yes, that chargeoff (or r9 status) will still remain on your credit profile.