Friends, this weeks topic will be Re-aged accounts. Some may think this is the white whale of credit repair. The unicorn. It is not. It happens. A lot.
The only thing is, not many companies actually notice it.
This is why we ask our clients to get us responses they receive from the bureaus and creditors. When we transition an account to 'advanced tactics', the first thing we do is spend a few hours reviewing the responses again. We collect notes taken on the account from previous responses and condense them into a profile of an account. In short, a lot goes on behind the scenes here at Credit Dr.
It's one of the reasons we set the date of update the way we do. Very little of our work is automated. Most of it is manual. And that takes time. The old fashioned way. Far too much of business now a days lacks a human touch. Scott and I both miss the days when you could call a company and actually talk with a person. We are trying to be that company for our clients. Heck, we don't even like the phone ringing more than three times before we answer it.
But I digress.
Back to the credit. So, with out being too terribly verbose, here's the situation bereft of any personal data. This client is still with us by the way, and is in the process of selecting his home, with his wife and new baby. The baby probably won't have much input. We are monitoring the file until he closes. This is the way we prefer it.
Anyways, so here's what happened from my perspective. All with back up documentation that would make my college Chemistry Professor proud.
We had an account that was old. It was a charged off school loan. It was reporting a balance of $16,772.
It was time barred and we were expecting it to be removed in January of this year. As a matter of fact, the below image shows it quite clearly as Jan 2016 is the anticipated date of removal.
This should be the same for all three bureaus. The information is being disseminated from the creditors, to the bureaus, so while the bureaus have a tendency to report the information in their own way, it should not be different.
So... we continue to ensure that the account hasn't changed and that in fact the account did in fact fall off the report. Everything looked to be in order. See the below response from Equifax. Particularly the date of last payment as 11/2009.
Now, one of the interesting things about the way this account is reporting is that it's not reporting accurately. Our client did not make a payment in 11/2009. We issued a request directly to the creditor and they were not able to prove any payment after 3/2009. So we issued out proof of that information to the other bureaus, which resulted in a deletion of the account on the other two bureaus. But that's not the biggest issue. Take a look at the latest response we received from Equifax in March 2016 (last month).
I received this response from him on a Saturday. I happened to be checking my work email and noticed it come across. I read the response. He was disappointed and confused. He said (I'm paraphrasing) 'That's crazy, Equifax has verified at while the other two bureaus deleted it months ago'.
I understood his confusion. I shared it.
I got back to him immediately and told him I would look at his account on Monday and we would go from there.
Sure enough, first thing on Monday I logged into his monitoring service to see what was going on.
First thing I looked at was his summary. I didn't need to compare it to last month's report. I knew what last months report looked like. It was perfect, aside from one account lingering on Equifax. The summary showed no delinquencies. It was clean. I scrolled down to the scores. I didn't need to look at the report's body. I could tell from the scores.
For perspective, here's the scores a month ago:
He was at work and we haven't but talked on the phone twice or three times since he started with us about 10 months ago. I emailed him a screenshot of the scores.
Here's his response. Oh and yeah, he was just fine with me sharing this with you:
Dude! Shut up!!!!! We're good?? We're fine???!!!
So... to bring it back... did Equifax delete the account literally 6 days after they verified it?? It would appear so.
The moral of the story is... patience and optimism.
We do know what we are doing, even though the bureaus may not.
Ed-Jack Dvorak is National Affiliate Liaison at Credit Dr., a national credit restoration company. He works with clients and creditors to improve credit profiles.