I didnt pay may credit card for 4years my debt was 700 back then.. And now its 2171.. And today i just receive a mail from a debt collector for a settelment of 1302. 3 payments.. Im just wondering whats the best way to fix my credit score
Welcome to the board. Start by checking on the SOL in your state, here: Statute of Limitations on Debt Collection Sorted by State If the SOL expired you're in a much better negotiating position. Also, is this the only negative on your reports?
Pro - Mindcrime is absolutely correct; if the SOL is close, you can count on negotiating that debt down further because once the SOL expires, the CA can no longer take you to the cleaners (i.e. sue you in court). The best way to repair your score in this instance is to negotiate a pay for delete. If you offer a strong percentage of the debt you owe (or all of the debt you owe) in return for a PFD, then you can pay off the debt while also removing the bad debt from your credit profile. Make sure this is done IN WRITING so that there's a paper trail a signed agreement. Without a PFD, those debts will linger on your report until they fall off your credit report, which will be seven years after the date of first delinquency.
