charge off time
Date: Mon, 12/21/2009 - 22:43
when will the creditors declare charge off. Is there any time frame. If so when?
If you are delinquent on a debt for six months then creditors c
If you are delinquent on a debt for six months then creditors can declare charge off.
Creditors can actually declare a chargeoff any time the loan has
Creditors can actually declare a chargeoff any time the loan has defaulted and they deem it will likely not be repaid according to terms. The FDIC has certain regulations that pertain to FDIC-insured banks, which require them to chargeoff within certain time-frames (I believe 180 days is the max, but those FDIC regulations don't preclude them from charging off sooner than that).
I've charged off as early as 30 days past-due (usually in cases where the customer has filed BK).
Quote:
Equifax lists them as R9 denoting charge off |
R09 and R9P are actually specific to Transunion. The first character stands for the "type" of account (R=Revolving, I=Installment, M=Mortgage). The second two denote the account status (09 = chargeoff, 9P = Paid Chargeoff). But you will only see these codes on a "commercial" version of a Transunion credit report; you won't see them on the consumer version that you obtain when you request your own credit file.
The bureaus follow the MetroII guidelines as far as account reporting. A Status 97 is the MetroII delineation for a chargeoff, and is the code that creditors would actually report to the bureaus. Transunion so happens to convert a status 97 into "R09" when they show it on your credit report.
They bottom line, and to answer Nikkie's questions, is that it will appear on your credit report as a "chargeoff" or some derivative thereof. (Consumer-friendly versions might state something like "Unpaid balance reported as a loss by grantor").
