Q & A's for September 2008

Hello,

Regarding a corporate credit card account that was about to charge off and was not yet currently reporting on the client's personal credit report, A bank rep offered a settlement and told my client that the "pursuant to federal guidelines" the bank had to report the business debt charge off as "settled" on his personal account. Is this true?

As I understand it, there is no legal requirement for creditors to report any information to the bureaus.  The only FCRA requirement is that IF the credit bureau reports information that they make a reasonable attempt to make sure it is ACCURATE.

Aside from the FCRA, there are some examples of child support and student loan obligations that are mandatory to report, but not credit card debt.  I think your client was fed a line.

Thanks for your questions everyone, keep them coming.

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