2 accounts showing "Included in BK" that had been paid off for years? WTF

[Spagal]

I would like to pull my credit score out of the toilet in hopes of being a homeowner again somewhere down the line. Pulled my credit report to make sure everything is reporting correctly and sure enough most of the 5 accounts that I included in my petition are already reporting as they should. 1 account is still lollygagging behind and to my shock and horror 2 older accounts that had 0 balances and were not included in my petition are now showing "Included in Bankruptcy"...how does that happen! Really? These have been paid off and were in good standing prior to this financial disaster and I expected them to be closed out my the lender because of the bankruptcy but not listed as "Included"...and no, they are no affiliated with the ones I did BK on (Chase, Citi, BOFA, US BANK, Kohls)...these were with WFNNB - which I had about 4-5 accounts with at one time, all paid in full, never late with healthy histories...

So I have contacted my attorney....or do I just need to start writing letters like a fool to the CR agencies? I figured there would be some misinfo on here but this is over the top!

[justbroke]

Start at the source... the creditor. Demand that they change the information and report it correctly or your tell your attorney. Better yet, and if not too expensive, have your attorney write the letters to the creditors... with carbon copy to the CRA.

I know what you're going through and I'm trying to clean up my reports now. I'm only in the first phase, and that's online disputing.

[Spagal]

Thanks. I did contact my attorney first...I hope he will draft a letter to WFNNB about this. Thats just not fair at all. Their accounts have been paid for years and I didn't have any balances at the time of the BK. I understand if I am not longer a worthy credit risk and they closed the accounts but this takes it a step beyond. Wondering how many other people in our situations have had accounts that were previously in good standing and paid off jump in the "include in bk" pile. Makes no sense to me whatsoever!

[Charlie777]

Old closed accounts changed to IIB

I had a similar problem with GE Money Bank. I had two old cards they had closed, and one that had a balance that was discharged in my Chapter 7. They changed the othetr two to IIB. Fortunately I had a three bureau report from the month before I filed and was able to get them to change them back to 0 balamce, paid as agreed, closed by lender as they had been reported prior.

I didn't have to do a letter, was able to do it by phone, but the argument was that this was an inaccurate change, once the account was closed and reported closed they couldn't just re-classify it because my SSN showed up in BK.

[Spagal]

Charlie - Sadly I had no other accounts with WFNNB that were involved in BK...they just noticed on my regular account review that I had declared BK, closed the two accounts and slapped Inc in Bk on them...they told me they have a service that notifies them if any of their account holders declare BK...so even though they weren't part of it they are jumping in...my atty was no help either...he basically was like "what does it matter"...well it matters to me!

I did try and sort this out over the phone but the are insisting I write in...so thats what I will do...more to come on this subject.

[Charlie777]

Were the accounts open or closed when they marked them IIB?

As I understand it, if a creditor learns of your BK they may be able to do what you're describing to an open account - say you had a zero balance card you didn't list, the card company learns you filed, and closes the account with an IIB notation. If the do that the action needs to be dated no later than the discharge date, possibly even the filing date.

In my ase, I had two accounts the lender had prevuiously closed, and could prove they had reported them closed - credit grantor request" prior to my filing. In that case I don't think they can legally re-report as IIB since the account was already closed.

[Spagal]

I guess I could understand if they just closed the account and put something to that effect that it was closed by the lender and previously paid as agreed...I just didn't know they could slap Included in BK on there...one account had 15 years of previous history no lates and all paid on time. I expected them to close at some point but not like this...So do you think its not worth writing the letter in this case?

[Charlie777]

Don't take me as the authority, but if the account was open when you filed they are probably not doing anything illegal in reporting it IIB. But I would definitely write a letter if the reporting / verified / status date is later than the discharge date of the bankruptcy because now they've done two things - turned a good line into a derogatory and made it more recent than they legally can.

[ladyjenn]

Hmmm....just wondering.... We are filing within a month hopefully. Should I call all my creditors with a 0 balance and close the accounts, so they don't state IIB?

[Charlie777]

Based on what I know now, I would. Ideally you'll have time to see them report as closed - customer request so you can prove it later, if you have multiple accounts with one lender and BK one of them. I had issues with GE Money Bank - they reopened and marked IIB two accounts they had previously closed.

[epiphany]

I had a similar problem with GE Money Bank. I had two old cards they had closed, and one that had a balance that was discharged in my Chapter 7. They changed the othetr two to IIB. Fortunately I had a three bureau report from the month before I filed and was able to get them to change them back to 0 balamce, paid as agreed, closed by lender as they had been reported prior.

I didn't have to do a letter, was able to do it by phone, but the argument was that this was an inaccurate change, once the account was closed and reported closed they couldn't just re-classify it because my SSN showed up in BK.

I too had a problem with GE Money bank. I had a zero balance with them so I did not include them in my bankruptcy. They closed my account and contacted my lawyer and said that they should be included so he added them (without telling me--I saw it on PACER) and it held up my BK until it was straightened out.

Not only that, they wouldn't talk to me during that time because of the BK so I couldn't straighten it out. I kept telling them they could talk to me because I didn't owe them any money, but to no avail.

Eventually PACER showed that there had been a mistake and that and that the creditor had accidentally been added. I have no idea how that account looks on my credit report. I haven't looked at it since the discharge. I suppose I should look soon but I really have no desire to go there yet.

ep

[ladyjenn]

So can I call, or should I send a letter? I would feel better calling.

[Charlie777]

I would definitely write, CMRRR, because you have no proof otherwise. Just a simple request to close the account and be sure to report it as "closed - cardholder request".

Something like this:

Mega Craddr
city, state, zip

Date

Providian Financial
Consumer Relations
201 Mission Street
San Francisco, CA 94105

April 7, 2000


RE: Cancel VISA AAAA BBBB CCCC DDDD


Dear Mega Credit:


I am enclosing the cut up card for the account listed above.

Please close the account.

Please be sure that your reporting of this account to the credit bureaus accurately reflects that it was closed at my request.


Very truly yours,

[ladyjenn]

I would definitely write, CMRRR, because you have no proof otherwise. Just a simple request to close the account and be sure to report it as "closed - cardholder request".

Something like this:

Mega Craddr
city, state, zip

Date

Providian Financial
Consumer Relations
201 Mission Street
San Francisco, CA 94105

April 7, 2000


RE: Cancel VISA AAAA BBBB CCCC DDDD


Dear Mega Credit:


I am enclosing the cut up card for the account listed above.

Please close the account.

Please be sure that your reporting of this account to the credit bureaus accurately reflects that it was closed at my request.


Very truly yours,

Gee, Thanks for doing my homework! Mind if I plagiarize? I will def do this on Monday. Thank you so much for the help