The title says it all: I really don't even know where to start; I don't really know what to do or what the best course of action would be. If the backstory is relevant, I'll just say that I had a shaky few years (from 2002 to 2005) where I played - rather, I partied - hard. Now I'm paying for it - or rather, again, would like to make amends. I'm looking for advice on how to handle the accounts below that appear on my CR. This is from TransUnion... Any help is greatly, GREATLY, appreciated... === AMEX Balance: $466 Date Updated: 1/2008 Pay Status: Charged Off as Bad Debt Remark: Account closed by credit grantor Estimated date this item will be removed: 6/2010 === Capital One Balance: $2,132 Date UpdateD: 4/2008 Pay Status: Charged Off as Bad Debt Remark: Account closed by credit grantor Estimated date this item will be removed: 1/2010 === Capital Recovery Srv Balance: $159 Date Updated: 2/2005 Pay Status: Collection Account Remark: Placed for Collections Date Placed for Collection: 4/2004 === Collection Co of America (This is from Sprint - should I contact Sprint?) Balance: $605 Pay Status: Collection Account Remark: Placed for collection Date placed for collection: 7/2006 Estimated date this item will be removed: 6/2010 === I'd really appreciate any advice on how to handle these. For instance, how to contact, if I should use a service to handle getting me the best deal, etc. I'm willing to pay the full amounts if they can remove these from my CR... DC2008
I would suggest trying to dispute them first. Once you access your report it might wake up the collection agencies if they placed a SCNL (Subscriber cannot locate) on the credit report. That is just a term meaning to please contact if consumer is located. They may send you collection letters after you dispute, just send them a request for debt validation and if they verify then offer payment for deletion. You may not owe anything on these debts due to the SOL expiring. You can just wait out the additional two years and let them fall off if they don't accept payment for deletion. Or you can just pay them, and continue to try disputing them for deletion. Sometimes collection agencies will let items get deleted if they have been paid. I have personally had this happen in the past. They would not delete on their own and told me so. Said I had to send in dispute and they would ignore it and that is just what they did. Good luck with this matter.
A quick update I've noticed, running a new report, that one of the accounts listed above (the small one from Capital Recovery) now has this listed: "The following item is suppressed pending credit grantor update" Is this good, bad, or what? I really am clueless, but I'm desperate to get these things fixed fast so I can get out of where I live and buy a house within 18 months from now...
That is a step forward if it says suppressed just means that it is now unrated and not affecting the score, but that can change. Being that you are going for a house, that makes a huge different in how you handle this situation. The mortgage lender is not going to let you into a new house with unpaid collections on the credit report. Either you get them deleted, or you have to pay them off before going for the mortgage. You are not going to be able to wait out the SOL. Unless you can explain to the lender that these debts are outside of SOL in a letter of explanation they still may require these to be paid. But worth a try.
Is it possible to hire a service that will handle the validation and negotiating payment (size) and deletion from my credit report? Or is it obvious and less likely to work in my favor not doing it myself? I'm a bit apprehensive about screwing this up farther.
http://consumers.creditnet.com/Discussions/sample-letters/ Here are the sample letters, just look them over first and that should give you an idea of what you are going to want to do. Want to send debt validation to each collection agency - return receipt requested. Certified Mail. They have to contact the creditor and get proof of the account to forward to you. If you don't hear from them in 30 days - there are other debt validation letters to resend to try to get their attention. If they can't verify then they should notify you that they will remove said debt off of the credit report. If they verify then you want to use a sample letter for offering payment for deletion. Also at the same time you can send a dispute letter to the credit reporting agency to try and get deletion. If you can get it deleted then the mortgage lender will be none the wiser (unless you are going for a mortgage loan exceeding 150,000 then it would show on the credit report.) Then I would suggest paying. But if you are not going for a house that expensive I would just try for disputing and getting deletions. Would save you some money in the end. If you didn't have to pay what was missing off of the credit report. Understand that if it gets deleted, then the creditor can later add it back. BUT the credit reporting agency must give you 5 business day notice of reinsertion. If they don't all you have to do is write back in and ask for deletion due to improper notice of reinsertion. I have used this and seen it work first hand. Ok, think that should get you started.
the SOL on an item on CR is planned to fall off Aug 08'. My question is should i immediately ask for this item to be deleted or just let it fall off due to the end of SOL?
How much of a mortage are you going for when you apply. If it exceeds 150,000 then dispute that account off if you can. If you won't be near that amount then let it drop off.
