Thread: Key Derogatory Info

Hi Guys,

Quick question on proper reporting for a debt included in chapter 7 back in March 2010.

RJM Acquisitions (for a Target card I had) - Previously it stated included in bankruptcy with zero balance and closed. It didn't seem to be hurting me much at all (black check mark on experian). It has stated "No data" since June 2010. I got an alert today that my score has dropped 12 points because the status now reads "key derogatory." Can they do that two years after? It makes it look like it's a new bad debt. I want to dispute but am not sure if that's an ok thing for them to do.

Thanks

"KDs" usually accompany debts that were discharged through CH 7, so I don't see why the CRA couldn't add it to your credit reports in this instance. Are we talking about Experian here? Also, a KD shouldn't make the debt look any newer as it doesn't actually change the age of the account. It's simply a notation regarding your payment history. Are you referring to a 12-point drop in your FICO credit score here or another credit score?

Thanks for the reply. Yes, this relates to an Experian pull. I have the credit alert through them and was just notified of the point drop (actually it was 10, not 12). This was the only change and it does show up as being a new negative. Doesn't seem right to me. I've attached a pic. Thanks

Keep in mind that we're not talking about your FICO scores here, so the 10-point swing might be non-existant in the FICO credit-scoring model. Frankly, I wouldn't be too worried about it as long as it's reported correctly as closed with a $0 balance. This will continue to have a negative effect on your scores for awhile, although it will have less and less of an effect as time passes and it grows closer to falling off your credit reports.

Thanks Joshua. Just sent them a nice letter asking for removal since OC doesn't report. We'll see...

Originally Posted by phantom

Thanks Joshua. Just sent them a nice letter asking for removal since OC doesn't report. We'll see...

No problem. Good luck and keep us posted on what kind of a response you receive.

The screen shot is still not viewable. How long does it take for the mods to approve the attachment so we can all view it?

Originally Posted by BCOHEN2010

The screen shot is still not viewable. How long does it take for the mods to approve the attachment so we can all view it?

You should be able to see the attachment now. Sorry, I thought it had already been approved and was viewable to everyone.