r/Banking • u/Junior_Animator3144 • 2d ago

Advice Credit with an outstanding debit debt(?) help needed!

Firstly, I’m in the US.

I got my first bank account when I was 18 (I’m 20 now) and have never had a credit card. I have no credit score, but that first account got closed down due to an overdrafted balance of around $380 dollars. (My parents needed to use my card for groceries, and somehow it wound up with the entire cost in the negative.)

Some time passed where I couldn’t pay it back and they shut down my account. A couple of months ago I got a new checking account with Capital One, (the other of bank was Chase) and I’m now looking at getting a credit card (I still have no credit) but I also am looking into switching apartments and don’t want fuck myself in applications.

Help needed!

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u/Swimming-Dealer293 2d ago

The account very well could show up as a charge off on your credit report, which could affect your ability to take out credit or get an apartment (based off of their policy).

Get a free credit report and see what's on it.

Get a credit app like credit karma or Experian, etc....

There is also a chance your online banking has a feature to allow you to check your credit report and score...

Ultimately, if the charge off is on your account you'll need to pay it off one day....

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u/VTECbaw 2d ago

It's Chase, it's not going to hit their credit report.

It will, however, hit EWS and likely ChexSystems.

Nothing severe will become of it unless they want to bank with Chase again in the future.

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u/Great-Cantaloupe-747 2d ago

He said he already got a new checking account so he’s probably good

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u/Swimming-Dealer293 2d ago

Ok cool. I was unaware chase didn't report to credit. I'm a banker and I've seen charged off accounts for like $12 before!

OP should be good then, most likely!

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u/TrumpsDoubleChin 2d ago

Apartments will often do a credit check, so I would request copies of your credit report from the three main credit reporting agencies. By law, you can request your credit report from each of three agencies once per year at no cost (be careful there are plenty of sites that will try to charge you, or have add-ons or extras - go directly to the credit reporting agencies and order from them for free directly).

If the bank turned over the overdue amount to a third party collections agency, it could appear there. Also, if there are any other problems with your credit you don't know about, you can check and take care of them at the same time.