Re: Mom's bankruptcy/joint account - what to do? Please help!

Posted by Linda on September 23, 2001 at 21:25:14:

In Reply to: Mom's bankruptcy/joint account - what to do? Please help! posted by John on September 22, 2001 at 16:05:46:

First, on the Discover account - it was joint, so you were liable for the debt. The fact that your mother told you she took you off the account is between you and her. If she later opened another account with you as joint accountholder, and you knew nothing about it, that is fraudulent; but, your only recourse would be to accuse your mother of fraud, and open the possibility that she could be prosecuted. If you were on the account as authorized user, you cannot be held liable for the debt, and it should not be on your credit reports. See Phillips vs Trans Union http://lawyerphillips.com/Phillips%20v.%20Trans%20Union%20et%20al%20--%20Complaint.htm

Discover should have notified you of the default on the Discover account, since it was a joint account, but if they only had your mother's address, and your address is different, they had no way of knowing how to reach you, and that is not their fault.

I would start by disputing these items with the indivdual credit bureaus - just to see what happens. Perhaps you would get lucky and they would delete them. If not, I would contact the original creditor and negotiate with them for payment in exchange for full deletion from your credit reports. Maybe they will be open to that considering the circumstances. They will always tell you "no" at first - so be persistent. Otherwise, you are stuck with the bad credit history your mother gave you.

Incidentally, if you have other credit cards, they will likely close your account once they see that entry on your credit report, and raise you interest rate to the default rate. And don't explode when they do - it is in your credit card agreement. Best to pay them off now if you can, before the whole thing gets away from you.

If I were you I would try to get a fraud alert put on all my credit files so your mother cannot do anything else with your credit, and check your credit files often to make sure nothing else happens.

Actually, she will be better off that you will be as far as getting credit is concerned. Strange but true. Rotten system.

Sorry to be ther bearer of bad news.

Linda

Follow Ups:

Post a Followup