40k of cc debt. business went under fast and furious. had nothing but rent/food money every month. bounced back like a champ but cc companies treat me like a chump. all accounts were closed by companies. settled for less on 2. 1 offer to settle still on table. the other 8 won't re-open if i pay in full. high interest rates (20-30%). I now have all the money to get to zero debt. 1) should i have settled with the 2? 2) should i settle with the 3rd or pay in full to avoid charge off, etc.? (in collections) 3) while the remaining will read as closed by bank, is there a benefit to paying in full or just waiting for settlement offers on these 8? I want to do what's best for my credit to buy a home in a year. is the "closed by bank" paid in full, BETTER than "closed by bank" setteled in full? in other words would paying the remaining balances in full help me or is the damage already done because they've already closed the accounts and i'd be wasting 50% of my money? thanks so much! todd
RE: lots of debt, about to pay Todd. I don't really have much to offer with advise here, but this is GREAT question for this board. Kristi might be a great help in your situation. I would caution you to make sure you settle these before they get written off. Keep making at least the minimum payments on the closed accounts until you figure out a game plan. The positive history will do nothing but help you.
