My wife and I are in the beginning stages of buying a house. Part of this is making sure to get our credit in line. We recently ran our credit reports and her report had somthing interesting on it. Back in early 2011 she opened a Target card. Roughly a year later I lost my job and while making sacrifices here and there we failed to pay down her target card. Eventually in 2012 it was charged off (around April of 2012) we paid off the balance to Target in 11/2012. The card should have been closed and no longer an issue. Well when we ran her report the other day it is showing Target is reporting this charge off for FOUR consecutive years now. Each month it appears as CO for 48 straight months, even though the balance was paid (which it says on the report). Am I missing somethign here? Other charge offs that have been paid of appeared on my or her reports as NR since the date it was paid off. Even though we have been paying on time monthly for about 3 and a half to 4 years now her score has continued to drop. The only negative reporting we can really see that is recent is this Target situation. While in the same time period my score has continued to grow.
Sorry for the longer explanation. Do you guys have any experience with something like this? How can it be handled? Also, it is only showing on her Experian report, the others give her issues at times since we got married (I assume do to the name change).