Intro: Need to fix my fixes

Discussion in 'Credit Talk' started by dsc, Apr 25, 2005.

  1. dsc

    dsc Member

    Hi all. This is my quite lengthy introduction. ;)

    My name is Dan. I'm a 31 yo living in Las Vegas. Married, 1 kid.

    I've been reading these boards for the past couple days. There is obviously a lot of good information and I'm going to continue reading, but I'm feeling rather overwhelmed by it all.

    I already tried to fix my credit scores and only made them worse. Almost two years ago, I went shopping for a house. At the time, my credit scores were 642/599/579. My mortgage agent said my scores would rise if I paid off the balances on my delinquent accounts (all of which were 5-8 year old CO's). I was sitting on quite a bit of savings at the time, so I decided to take his advice. The smallest, I paid off. Three of the largest I settled. My scores tanked. I dropped 70-100 points on each.

    Luckily, my mortgage agent still had approval for a loan with the previous scores. 8.5% on a 2 year ARM. Not too bad, all things considered.

    I ordered the Equifax 3-in-1 over the weekend. Things are looking better. My Equifax ScorePower is 608. However, I have two problems:

    DILLARDS is showing a balance of $632. This is one of the accounts I settled (I paid $316 of the $632). They are continuing to post a CO of $632 every month to EQ and every quarter to TU.

    RMA/SEARS is showing a balance of $583. I don't know where that number comes from. This was another I settled (I paid $1360 of $2559). Every month they're posting a CO to EQ.

    In November the rate on our 2 year ARM will rise. I will need to refinance. That's not a lot of time, so I'm keeping my focus on just these two. Correcting the balance amounts should be simple, as I did get my settlement agreements in writing. But I'd like them removed completely. Unfortunately, when I negotiated the settlements 18 months ago, I didn't know I could ask for their removal.

    I still have a lot to read and research. Any advice would be welcomed. Glad I found this site.

    Dan
     
  2. dacoldest

    dacoldest Well-Known Member

    You mention the age was between 5-8 years on these accounts. The big question is when did they become negative. I have been success with the following statment ( adverse information can only be reported negatively on my credit report for 7 sevens). One of 2 have happen with that a complete deletion or the account was changed to paid as agreed either way will help. Also besides your mortgage what other tradelines do you have, like credit cards or car loans because these item can help raise you score as well. Look at the info on the equifax report sometimes it will tell you what factor are affecting your score.
     
  3. jenz123

    jenz123 Well-Known Member

    I would first dispute the TL's as "not mine" with the CRA's. since they are paid, chances are they should just fall off. if not, post the results back here and we will help you out.

    kudos to you on taking the initiative this far in advance to check your scores/credit before the rate adjustment.
     
  4. dsc

    dsc Member

    Thank you both for your replies. Answers to dac's questions:

    DILLIARDS
    30 late: Mar 1999
    60 late: Apr 1999
    90 late: May 1999
    120 late: Jun 1999 & Jul 1999
    CO: Jan 2000

    RMA/SEARS
    Less information. Equifax isn't listing a history and I didn't keep records back then. However, I can tell that Sears sold the debt to RMA in Jan 1999. There is an entry for both on my CR.

    The original Sears item does not say CO and does not appear in the "Negative Items" list. It says "Paid and Closed" and "Account transferred or sold." Balance is 0.

    The RMA (CA) entry has the incorrect balance. It was opened in Jan 1999, so I'm assuming that is when it was sold. No monthly history here. No mention of CO. Just the weird balance.

    As for your second question... In addition to my mortgage, I have a Capital One ($250 secured, opened 17 months ago) and a Citibank (AU, $750 unsecured, opened 7 months ago). I also have two fully-paid installment loans from 2000 and 2001 (furniture company). All five of these TL's have never been late.

    The Citibank card is listed as a negative since it has only been open 7 months. I'm hoping that when it is time to refinance (6-8 months from now) that will have much less impact.

    Thanks,
    dsc
     
  5. dsc

    dsc Member

    Earlier this evening, I called the phone # listed on my Dilliard's settlement receipt. The lady on the phone said that the balance should not be showing as $632, but should be $316. When I asked why it wouldn't be $0, she said that the CR should continue to show the balance not covered in the settlement.

    I paid $316 of $632 in Sept 2003. Exactly 50%. According to her, I should be showing an unpaid balance for the other $316. 632 - 316 settlement = 316 balance.

    She then said that they would continue to report that balance for 7 years from the date of settlement. This doesn't make sense to me. If I had known this at the time, I wouldn't have settled. Who would? Are they actively trying to discourage people from paying?

    The lady said that she couldn't update the balance without me first faxing her a copy of my CR. Yeah, right. I'd say that's my absolute last resort. If I can't remove the Dilliards TL, at least I can halve it.

    Now, how RMA/SEARS came up with $583 is beyond me. I settled $1360 of $2559, also in Sept 2003. Last year I did try a "Not Mine" online dispute. It didn't work, but there is a "Consumer disputes this account information" comment on EQ.

    Here's the options I'm considering:

    1. Standard verification letters. Snail mail, CRRR this time.

    2. Litigious Nutcase letters. Seems like this might apply in my case, since I do have contracts/receipts from both saying that they accepted payment in full. So they can't see me as a source of additional income.

    3. Or can they? Maybe I could offer to pay the remaining "balance" in return for TL deletion?

    Thanks,
    dsc
     
  6. dsc

    dsc Member

    (bump)
     
  7. jenz123

    jenz123 Well-Known Member

    i always promote the "1-2" punch...works best and racks up the most violations.
     

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