I goofed up and sent a request (via email) to chexsystems to verify if I was in their database. Well, I was (for a closed account from 1998). My credit report is showing the account as sent to collection (the original bank is reporting this, this is why I contacted chexsystems in the first place). My question is : Is chexsystems separate from the bureau's? Can they also add another negative entry to my credit report? And finally, should I pay directly to them or to the financial institution or should I pay at all (for fear it will show "paid collection"). The last activity date is October 1998. Thanks
I haven't had any experience with Chexsystems, but if my memory is correct, negatives will report for 5 years. You can always request a copy of your chex report and dispute it. No, I don't think any other negatives will report from chexsystems to the other cra's. If you did decide to pay, it is my understanding that you will then be immediately cleared to open checking accts. I could be wrong on that, and I'm sure I'll be corrected if I am. LOL
The reporting limits for chex is 5 years. However, paying the debt will not clear your record with chex. It will report as paid (If the bank updates) Still, many banks won't open an account for you regardless. I think LKH is referring to Scan or the TELE "thing". When you pay the NSF, your name is cleared.
