I'm in the mortgage approval process. From what I've ready here, I will need to pay 2 unpaid collections before the mortgage is approved. Closing is scheduled for 3/29...doesn't give me much time to wheel & deal with the collection agencies. One has offered to settle for 40% of the total amount due, which is great but it doesn't leave much time for writing a letter demanding that they delete, waiting for them to respond, etc. ANY SUGGESTIONS????
Steff, You had mentioned that you had put down an offer to purchase a home, but hadn't heard back from the seller yet. Apparently, since you're closing, your offer was accepted...congratulations! Now comes the fun part...ha, ha, ha. After speaking with the broker what did he/she say about the two collections? Did he/she tell you to pay them or have it not been mentioned yet? Unforunately, if your closing is less than 30 days away there is no time to wheel and deal if the mortgage broker requires you to pay them before closing. At this point, with the house on the line, accept the settlements and pay. After you close on the home start disputing with the credit bureaus to have the information deleted. After awhile the collection agency will get tired of verifying and the credit bureau will delete it. Could you contact the creditor instead and see if they would be willing to buy back the debt and work with you? If they won't, it doesn't hurt to try to negotiate with the collection company (everything in writing - faxes work). I hope everything works out for you. Dani
