Capital One Capital One Credit Card Told me a fradulent credit card account would be removed from my credit, and was NOT! Salt Lake City, Utah

unfortunately in this instance, the bank is correct. If a family member opened the card without your permission, then its a domestic dispute and if they were living with you, then the police probably wont even get involved. Not filing a police report is basically saying that you are willing to take responsibility for the persons action. Sorry it wasnt the answer you were looking for!

" When I found out a family member was responsible I chose not to file charges. "

   If you refuse to file charges and officially delclare that the account is fraudulent, the creditor has no legal way to make your family member be responsible for this debt.   It is still legally in your name and you will remain legally responsible until it is paid.  If this was truly fraud, charges would be filed and your record would be cleared.  You have chosen not to make it fraud.

   You can't have it both ways.   Either you make your family member own up to what he/she did, or you're volunteering to take the hit for him/her.  

If you are unwilling to file charges against the person who opened the account in your name every credit card company would hold you responsible.  I am not saying that you did this but it is a very common thing to have someone you know open an account in your name, charge up hundreds if not thousands of dollars and then go back and say "Well I didn't know".  If you are unwilling to prosecute the creditors take that as "Well they must be involved somehow".

So unfortunately your only choices are to accept the account as your own, this includes all negative reporting if you do not pay on it OR file charges against the other party.  Now if you file charges what happens to that other person is 100% out of your hands because you would then have suffered no loss. 

Now, if you don't want to go the criminal route as an alternative you could attempt to sue this other party in CIVIL court.  Where you could sue them for not only the amount they charged but for any damage they have done to your credit.  Depending on their financial situation though even if you prevail it may be a victory in name only.  Of course you are still responsible for the debt and all of the negative reporting.

See I told you that you would not like your choices.

Capital One cannot do anything about this being on your credit report. All they did was report it late, which it was. You will have to file a report with each credit reporting agency and explain what happened. The only way to correct it is for you to handle it with the credit reporting agencies. After you file a report, they will either remove it or add an explanation as to what happened. Good luck!