Repo on report - question

[MidwestGuy]

Last night my brother in-law came over to my house and we decided to pull his credit history by using 1 free credit report a year. While looking through the history, we noticed that one of his accounts was in negative standing. It said "repossession". It was for his vehicle that was stolen in OCT/06. Insurance took care of it and he never owed any money on it. But it says there is balance of about 9k on it and that account will be in good standing sometime in 2013. My question is, why would this be reported as repossession when in fact it was stolen ?

And another thing, many CC accounts have been listed as "charged off". What does that mean ?

Thanks for any help you can give.

[sandhall]

charged off means he left a balance owing when they closed accounts and they sent to collections

[lrprn]

It said "repossession". It was for his vehicle that was stolen in OCT/06. Insurance took care of it and he never owed any money on it. But it says there is balance of about 9k on it and that account will be in good standing sometime in 2013. My question is, why would this be reported as repossession when in fact it was stolen ?

Have your BIL dispute the repossession with the credit agency (or agencies) as coded incorrectly. If that doesn't do the trick, then have him dispute the coding with the original creditor directly. Give it 30 days each time and see if the repossession is changed to closed.

[CindyLou]

If your brother did not have Gap Insurance then the entry could be correct. Does he know if they insurance paid the entire amount of the loan or did they just pay the value of the car?

It would be worth a call to the finance company and ask for a copy of the final account to see how it was paid out. If he did have Gap Insurance then maybe the Gap claim wasn't filed.

Good luck.

[tinroofrusted]

Last night my brother in-law came over to my house and we decided to pull his credit history by using 1 free credit report a year. While looking through the history, we noticed that one of his accounts was in negative standing. It said "repossession". It was for his vehicle that was stolen in OCT/06. Insurance took care of it and he never owed any money on it. But it says there is balance of about 9k on it and that account will be in good standing sometime in 2013. My question is, why would this be reported as repossession when in fact it was stolen ?

And another thing, many CC accounts have been listed as "charged off". What does that mean ?

Thanks for any help you can give.

He should be able to just show a police report, and this should be easily cleared up! Sounds like someone's trying to commit fraud here though. If the insurance company paid it off, and they are still trying to collect on it, that smells and acts like someone's trying to double collect to me!

[rrockinggramma]

We had a similar situation and our credit report, the vehicle is listed as paid/closed zero owed but please contact lender for special circumstances. So that might be what he needs to get his credit report to reflect as well.