Personal Finance

Open Bank Account listed on my credit report

  • Last Updated:
  • Feb 11th, 2019 1:44 pm
[OP]
Newbie
May 20, 2018
11 posts

Open Bank Account listed on my credit report

I have a listing for an open bank account on my credit report that hasn't been used for nearly 8 years and already went to collections and even fell off the report (the collection) due to time elapsed, it is marked as an Installment account for $570. I thought it was closed when it went to collections but it remains on the report as open; can the bank keep an account open AND sell it to a third party collection agency? Is there anything I can do to get rid of it? If I pay it off will they add the collection back onto the report?
6 replies
Deal Addict
User avatar
Jun 24, 2015
2004 posts
374 upvotes
Woodbridge, ON
so u owe money on this bank account? just call the branch and inquire, tell them you see it on your credit report they will investigate.
Hi
[OP]
Newbie
May 20, 2018
11 posts
This account went to collections in 2012 or 2013, let's just say that there was a lot of commotion in my life so I didn't keep track of my credit until a couple of years ago. Although the account is listed as an Open Installment account (scotiabank) the note on the account says "Bad debt; placed for collection; skip". Looking it up further it sounds like dormant account are closed after 2 years, and it already went to collections before then so would it be best to approach TU and EQ? This account should no longer be open according to scotiabank's own rules.
Deal Addict
User avatar
Jun 24, 2015
2004 posts
374 upvotes
Woodbridge, ON
why not just ask the bank?
Hi
Newbie
User avatar
Jan 7, 2019
47 posts
29 upvotes
The bank account most likely still there but just on the back end. I'm surprised it is still in collections and not written off. Call Scotia and have them do an investigation to see what the status of the collections is. If it's outside with third party, you'll need to have Scotia put you in touch with them if you plan to pay it off.

If you don't plan to pay it off, it'll affect your future credit applications since it's still on your credit history. As the amount isn't too large and it was a long time in the past, I would recommend paying it off and just moving on with your life.
[OP]
Newbie
May 20, 2018
11 posts
Everything I've heard sounds like approaching the bank or collection agency when a debt is this old would just cause the expiry to be reset, it's been 7 years so I don't want to add another 7. The collection for this account already dropped off the report, my understanding was at this point (or even a couple of years ago when I started paying attention to my credit again) it hurts my rating more to re-engage in the old debt than to wait it out or is that incorrect?
[OP]
Newbie
May 20, 2018
11 posts
have Scotia put you in touch with them if you plan to pay it off.
That would reset the debt clock though wouldn't it? And it would be back on my report for another 7 years?

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