WhyChat, Pretty please with sugar on top, will you look at this thread and answer the last question? I think the answer needs to go in the FAQ as well In a nutshell, who regulates accounting practices? Is it the FDIC? If a tradeline was "included in bk" what accounting practices would dictate how the balance of the information in the tradeline would be reported accurately? Please, pretty please! WITH a cherry on top! Sassy
Last I knew, the SEC regulated accounting practices for public companies. FASB (the Financial Accounting Standards Board) and the AICPA (American Institute of Certified Public Accountants) regulates accounting practices for private companies.
If you have trouble getting to sleep, I suggest you read this; http://www.fdic.gov/regulations/laws/rules/5000-1000.html The link is on my website,and I guarantee you will quickly doze off after trying to read it.
LOL WhyChat, THAT one put me to sleep last night. But which regulates tradelines being reported? If included in BK, how should the information be reported that's what I want to know. Lisa just got her court date on the link above. The OC has zero'd the balance out, included the bk notation, but keeps increasing the total amount owed. If she wants to show the judge how it is supposed to be reported, where would she find that? Sassy
Is this a Chapter 7 or Chapter 13 bankruptcy? If this is a chapter 7, this sounds like a software problem inthe program that converts the OC's files to the CRAs' format rather than an accounting problem. The balance owed should not change after the filing date although it normally takes time for the OC's systems to reflect the bankruptcy and may in fact increase over a couple of billing cycles. If its a Chapter 13, their system may have it flagged as bankruptcy but is accruing the contracted interest in case the bankruptcy is dismissed for failure to make payments according to the plan. I can't comment on whether it can be reported this way - others here may know. If this were an accounting issue, it is likely that the amounts aren't material with respect to the OC's financial statements - No one would care from an accounting standpoint.
The only prohibition against continuing reporting that I think could apply would be the violation of the discharge. In a ch13, since the discharge is inchoate, I do not believe the continued reporting, with added interest is prohibited. The caselaw that might help you understand this is fairly interesting, and not sleep provoking. www.tneb.uscourts.gov/opinions/ rs/96-30110_Koresdoski.pdf
