What should I do about my credit report?

Question

A charge that I had paid off years ago is reported. I had 90 dollars due a few years ago. I paid it all off at the cashier at Kohl's and had it closed. Now I see on my credit report that I owe almost 400 dollars even though I paid it off.

Answer 1

First, you should probably try to find out if you actually owe it or it's wrong.



If you do owe this money, then you should pay it.



If you don't owe this money, then you should dispute the entry that is on your credit report, but you should dispute it only in writing, without using the telephone, because it's probably in collections, and calling a collection agency on the phone can make things worse.

Answer 2

Anytime you close a credit card, you should request written confirmation that the account is closed and 0 balance. Then keep that confirmation forever. This is why. It is very likely that there was some small accrued interest that wasn't posted to your account when you paid and that has since built up additional interest and late fees.



Does your credit report include the Kohls account? What is the status? Is showing charged off? If the Kohls account does not show charged off, it is very likely that the collection is for something else ... may not even be your account. Start by disputing the collection item with the credit bureau as not being yours. Could be an error and easily fixed.



If that doesn't get the item removed, send the collection agency a certified, return receipt letter requesting validation to include copies of contracts or other documents that prove the account is yours. If they fail to respond after 30 days, you can dispute the item with the credit bureau again indicating the collector failed to validate and include a copy of your letter to the collector.



If the collector does respond, you can then fight it out with them. If it turns out to be yours, negotiate a settlement. You should be able to settle for 25% in a lump sum. Get it in writing and do not give the collector direct access to your bank account.

Answer 3

When you paid the cashier at Kohl's, who owned the debt? Kohl's or a collection agency? If an agency you should have paid the agency.

Also, you could have paid Kohl's and still have $10 left in interest. Where you checking your mail? Late fees and extra interest could easily amount to $400

Important to open those credit card bills and make sure balance is $0.

Answer 4

Call Kohl's credit dept and request a complete breakdown of your account