When a creditor (Monty Wards) goes out of business how should a zero balance account be reported to a CR: Open/Paid or Closed/Paid? I had a BankFirst account go from a Lost/Stolen status to an Open/Current/Never Late/Zero balance with a C/L that is 5 years old, $500. Leave alone or do the â??rightâ? thing and report it Lost/Stolen and ask for a removal?
Leave it alone!!! - If it aint broke, don't fix it. - Let sleeping dogs lie. - Always wait a half hour to an hour after eating, before you go swimming. Seriously though, if it does not negatively affect your profile (like having too much revolving credit and you need it lowered) than you should just leave it be. -Peace, Dave
Wellâ?¦ I have two accounts showing on EXP as Open/Current/Never Late that in all honest are not. In Nov 01 EXP changed the status of my S/L BankFirst account to Open/Current/Never Late and last month they changed my paid C/O Target account to Open/Current/Never Late when I disputed the payment history. I also have a Monty Wards Open/Current/Never Late will remain on file till 12/2010. That brings my EXP report to 12 Open/Current/Never Late accounts. These three accounts are some of the oldest accounts on my record. Would 12 accounts be too much revolving credit? Just did a rough C/L to Balance ratio and I am at 55% w/these three accounts. If I close them I would be @ 58%. I think I will keep em till my accounts age a few more years and get that damn ratio down. Way down. Any answers to my first question regarding how BK creditors should report zero balance accounts?
Well it is not just a factor of how many accounts as much as it is "how many and how much". In other words 12 accounts is fine if your income and creditworthiness is sufficient to handle it. Therefore you have to not only determine your C/L to Balance ratio but your debt/income ratio as well. I would NOW however suggest that if this is not your oldest line of credit then you should probably remove the listing because 11 is more than enough and 12 may be too much so dispute and it should drop off. As far as your question about BK companies updating listings after they claim BK, I have no first hand knowledge but I would think that a company in BK would not be allowed by the BK courts to spend any money that could possibly go to employee and creditor relief, and therefore spending the cash to update the CRA listings with ANY new information would not be expected...unless they are legally required to do something about the updates of their customers accounts by some state laws or bankruptsy court provisions. But again this is just conjecture, I have no first hand knowledge of what happens in that case. Just my mind rambling. -Peace, Dave
