I was poking around on the Bayhouse boards and came across this post: The reporting of discharged accounts, ever if reported as "included in bankruptcy" is a violation of the Bankruptcy Court's Discharge Order. http://www.bayhouse.com/credit-forum/showthread.php?threadid=358 Now I'm totally confused...are accounts supposed to show "included in bankruptcy" or "discharged in bankruptcy"? Thanks in advance! Cynthia
I read that thread to, but it was just a discussion...no one ever followed up to see if this was correct. I was hoping someone would investigate it further since every single derrogatory account on my husband's CRs are from his bk. Up until the day he filed bk, he had never missed a payment or been late on a payment and ditto since. If the only thing showing was the actual bk...my guess is his already relatively high scores would shoot through the roof. 692 on Equifax is nothing to sneeze at from where I am sitting down in the 500 club...lol. L
I glanced at the thread as well. Here's the problem with the argument that reporting a bk to cra's violates a fresh start. The first time the Federal Gov't got involved in comphrensive bk legislation was in 1938. At that time, FDR's principle economic advisors were Keynesian economist who testified before Congress that the economy was not recovering from the depression because people were afraid to invest and consume because of a fear of what would happen should they be unable to pay. So, Congress passed the first bk legislation with the idea that a fresh start means you are no longer liable for old debts. There is nothing that says potential future creditors can't be informed about a previous failure. All bk legislation passed since then has the same message. You are relieved of current debts but, it doesn't mean past behavior can't be disclosed to new creditors.
Well I pulled my Experian last night and my car (which the judge refused to reaffirm) shows "Petition for Ch 7/Never Late" and MBNA and Providian both show "Discharged through Ch 7." Capital One shows "Open/Never Late"....however when I access my account online it shows that the account has been charged off. Transunion and Equifax couldn't find me online so I have to wait for my CR to come via snail mail. I'll be very interested to see what they have to say.