Hello all! I'm not ashamed to admit to my complete newbie status here - I've been reading these boards extensively tonight, as I'm about to try and embark on fixing my horribly damaged (mostly through fault of my own) credit. I've decided to try and have a go at it myself first, by disputing whatever i can using some of the tips and info I've found here -- just a quick question: In regards to the 7 yr. drop off SOL -- I have a few negative accounts/chargeoffs that are in the 6 year range, some arouund 4 and 5. The majority of my debt is at least that old, actually -- if I send a letter of dispute (either online or actual mail) am I in any way "restarting the clock"? I don't want to risk anything NOT falling off that would otherwise do so, and I'm a bit unclear on how that whole set of rules plays out.... .. are there any negatives to disputing things? Does it encourage anyone to come after you harder? Some of my older debts are on their second or third CA and don't contact me at all right now -- I wouldn't know they existed if not for my credit report. Will I stir a hornets' nest if I dispute anything now? Sorry if these are moronic questions... just trying to learn what I can! Thanks in Advance EM
Do not dispute unless the effects of that dispute are predictable. To the extent they are not predictable, do not dispute unless you know all of the possible results and in each case the consequences are acceptable. Lots of people dispute and then wonder why they got sued. So if you don't know the SOL for suing (not the 7.5 year reporting SOL) for each type of account you have on your reports and when the clock started ticking for each, the thing to do is to find that out before disputing. If you are going to dispute something that a JDB may sue on, you want to know how litigious that JDB is in your neck of the woods (check your local courthouse dockets and clerk/recorders' website for recorded judgments), you want to know how strong their "media" is said to be (whether they will be coming to court with adequate records to prove their claims), and you want to know what kind of holes can be poked in an SOL defense in your state (tolling, restarting, etc.) and whether your state is a "choice of law" state where the contract may govern the SOL rather than the statutes. Due diligence and preparation are key, rather than willy-nilly disputing things that look old. Also watch out for the ol' 1099-C forms.
I am so overwhelmed and confused. I don't know where to begin. I am trying to decide, at this point, if my best course of action is to simply sit and do nothing. I am DEFINITELY not interested in going through any type of litigation, and I want to avoid taking ANY action that would provoke that outcome. As it stands, the reality of it is simple: I have terrible credit, I will never be approved for a home loan in the next few years, BUT, the only form of contact I currently experience from creditors is the occassional robotic message on the answering machine and the bi-weekly ambiguous statement in the mail. I would love to do anything possible to expedite the process of repairing my credit, but not at the cost of "stirring the pot" with creditors who are mostly "laying low" at this point in time. Opinions? Additionally, if I enlist the assistance of a credit repair agency (Lexington, Apex, etc.), do I stand any less chance of facing litigation as a result of their actions, or is it exactly the same? Thanks in advance.
Read the CROA before you even think about hiring one of those guys. Chances are you won't want to hire. If you're unwilling to triage your own reports and understand the legal environment you are operating in, you'll never improve your credit because you won't understand your rights and you'll be ripe for reaging, ripe for being sued past SOL and losing because you default, and ripe for every form of abuse they can offer. Armed with knowledge, you can wipe 'em out and maybe even make money on account of their miscues. Your choice.
