All, It's been a long time (thank goodness). I have a Citicard that is 90 days past due. I qualify for hardship due to medical reasons. I have a balance of just under 10k and Citi has offered a settlement of 7500. Is it better to take a settlement (from a Credit score standpoint) or would it be better to just make a payment for 7500 and then pay the minimum going forward (note the credit card is already closed as it went past 90 days). Thank-you as always for your support.
From a purely score driven perspective, settle it. It's already an R-6 and has negatively impacted your scores. The "settled-notation" is not going to impact it any further and it will save you money. Citibank will not blacklist you for doing so. From a manual-review viewpoint, payment in settlement is an aggravating factor. Still, it's not going to take you out of the picture for a loan in-of-itself.
