Charge Off

Does anyone know if this would really prevent someone from obtaining a
mortgage IF they don't have any other blemishes on their credit? I've
been reading about how those that short sell should be able to borrow
after 2 years, and those that foreclose will need to wait 5. So, it
seems to me that in light of that, a charge off on an acct. 3 years
ago shouldn't weigh so heavy that it costs someone a mortgage. I'm
genuinely curious about this, so does anyone have any experience with
this?

it doesn't matter if it's been paid off.

if the charge off was valid, it stays for 7 years



credit reports exist to show a person's true credit history

"As Verizon has been paid for going on 3 years the full amount that
was owed, there is no more incentive to continue reporting the Charge
Off on my records "

But there is. It's part of your credit history and is being reported
acurately from what you say. The whole point of a credit history is
that it shows just that, your history. If we could have everything
bad removed once we paid it, there would be no point in having credit
scores.

You paid $40,000 for a house???? Is that true? I live in Brooklyn
and there is nothing you can purchase for $40,000. I own my apartment
and there was no way I could pay cash (if I found a place for $40,000
I could have). So there are reasons we have mortgages. I rented
forever and got nothing when I moved and no tax break...at least now I
get a tax break on my mortgage and maintenance payments and if I
choose to leave I will be able to sell.

Rowdy, I have been in the same job for almost 24 years - I did have
credit issues when I was younger but now my credit is good. I enjoy
eating out (but like you I don't eat fast food).

However - your comments seem to only want to reflect your views -
they're not really a comment on what the OP ways. I respect your
views - would never live that way - I eat pretty healthy, go to the
gym - but I do like a bit of junk food sometimes, I eat out, I have a
credit card & a mortgage - it's possible to enjoy life without living
like you do.

And kudos to you for taking in foster children.

Yes, Im in Texas.

The average price for a new house is about 120k Id say.

I can only reflect my views, they are all I have.

I never said you wouldnt enjoy your life.

My point is when Life happens, people that choose to hold onto debt,
car loans, home mortgages, credit cards, tend to fall into a deep
pit.

Good Day

If it's reporting as a 3 year old paid charge off, that in itself
shouldn't be enough to prevent you from getting a mortgage. I had
some screwups earlier with my credit, but did not have any problems
getting my mortgage just last year. There have to be some other
entries on there that are more likely causes of any denials you're
getting. A 3-year old chargeoff shouldn't carry enough weight to
cause a denial by itself.

But it's accurate, so it should stay.

I think you will find "going on 3 years now" means you have over 4
years to wait for it to be removed.

A chargeoff is a serious matter, along the lines of bankruptcy.
Notations of these just don't go missing.

It isn't a matter of "incentive". The purpose of it on your report is
to let potential creditors (eg a mortgage lender) know that you may be
a credit risk. I have never had a single negative mark on my credit
report. Shouldn't I have an advantage over someone who has?

Byron J.,

The issue is was this debt turned over to collections and paid off by
you after it was due in full. If that is the case you can and should
expect that entry to remain on your creditr report for up to 7 years.
If you can prove that the debt was paid in full prior to it being
turned over to collections you might stand a chance of having it
removed as an error.

BillR.