But also know that they do not have to wait 180 days. They can charge off before that. When ever they seem appropriate. It could be 60 days, it could be 90 days. It is true, they can.
Flynt... Do you mind sharing with us WHY you asked this question? The reason I ask this is because often I run into posters who mistakenly believe a charge off will offer them relief from collection efforts. They usually ask the same question as you. It is a tip off to us that they are in trouble, are looking for help, and don't know what they are talking about. The other reason for this question is less common. It is when the poster is questioning why a creditor charged off an item. So feel free to share the rest of your story. You might just learn something.
Not at all cable666,and I want to thank each of you for your posts. I am just learning about credit disputes and I was surprized when I received my credit report to find that a loan defaulted in 1994 shows a date of last activity 1997. Since the OC is an FDIC Bank I just wanted to make sure before I take action.It was assigned to a CA.
OK, but you are barking up the wrong tree. The date when am FDIC bank must charge off a delinquent debt has nothing to do with collection efforts or credit reporting rules. It has to do with their book-keeping to make sure they don't report non-performing loans as assets. I assume that you are attempting to calculate when the 7 years of negative history must drop off. Because this debt went deliquent before 1997, it falls under the old FCRA rules. The old rules state the clock is 7 years from the data of last activity. The new rule states it starts 180 days (6 months) from the initial time it went delinquent. In other words, 6 months after you missed the first payment deadline. There have been arguments that the new rules are retroactive and that reporting companies are honoring it. I personally don't beleive it based on my reading of the FCRA. Hower, antidocial experience has proven otherwise. If I were you, I would argue that the DOLA is wrong and that the item needs to be deleted. If the creditor confirms to the CRA that the DOLA is correct, then I would sue the CRA and the CA/OC for violations of the FCRA. And also, being flagged as a charge-off is not an activity. Neither is being sold to a CA.
