A bank account and a credit card debt that have been charged off.
I had a checking account and a Credit line from Bank of America that have both been charged off (The bank account charged off a few months ago and the Credit almost a month ago). They the debt isn’t very much but now that they have both been charged off I don’t know what to do to pay them off. I don’t know if I call the bank or someone else. I’m barely turning 20 years old and I want to fix this so it won’t affect my credit anymore. I really want to get back on my feet.
It’s admirable that you want to fix this situation now. Hopefully your financial situation has changed and you can now afford to make regular and continued monthly payments to clear up these debts. The best place to look for information about where these accounts are now is going to be your credit report. The information below should do the trick for you.
Get a Copy of Your Consolidated Credit Report
Get a copy of your consolidated credit report. It is the type of report that includes all the major three credit reports in one report. I only use a consolidated credit report to check my credit and the link will take you to the credit report I use.
Your credit report is like a report card of sorts. You need to look it over and make sure that all the accounts listed on your credit report are yours. If they were not, you need to write to the credit bureaus that are reporting them and tell them they are not your and ask to have them removed. It’s like you looked at your school report card and it listed classes you did not take. They should not be there.
If the rest of the accounts belonged to you but you had a bad track record with them, that information stays on the report just as if you got a D in a class you took. Just because you got a bad grade does not mean the class is removed from a report card.
After seven years the bad credit items will no longer be reported on your credit report. When you look at your consolidated credit report if any of them list negative information longer than the seven year period, then when you write to the credit bureaus to point out any incorrect information, you can tell them about the old items.
Generally the credit bureaus are good about automatically removing the old items.
While you are at it, look for any delinquent accounts that may be younger than seven years old. If you have any, pay them off. The contact information for the creditor will be on your credit report.
I also recommend you get a free account on Credit Karma so you can use the free credit simulator to see how changes to your balances or accounts will improve your credit score. This way you can plan what actions to take first to get the maximum improvement.
Credit Karma will also provide free daily credit report monitoring and free credit scores but only for one credit bureau. Still, it’s a free service that can be very beneficial.
Please post your responses and follow-up messages to me on this in the comments section below.