We are in the process of selling our current home and will be building a new home once our home is sold. We are currently looking to start building within about 2 months or so. I have an old charge-off from Providian which has been sold 2 times now and is with NCO financial at this point. Should I just settle with them or send them a DV letter? The debt is currently about 5yrs old from the last time any activity was done and in my state it is out of the SOL time period so they can't collect on this. I just have to have it cleared up before we close on the home loan in about 6 months from now. So what are my best options here? Settle for about 20% of what is truly due or send DV letter and see what happens? Thanks
Could you settle on the condition that they remove it? I am new here so others might have a better perspective.
Good Luck...I had the same issue with NCO and agreed to settle the debt if they would remove the item from my credit report. I kept my end of the deal and settled the account. This was 08/05. The account still shows on my report and is due to fall off in 02/07. I disputed the item through TransUnion and theyre doing an investigation but it will probably take until Feb anyway! NCO sucks!
Send a DV. then dispute with CRAs. Take the tried and tested way first. If they delete then look into a settlement. They fell off my report with a DV request and a filed CRA dispute. All 3 reports.
Speak with a mortgage company first and see if there is any value in going thru the headache. I recently got 6.4% with a 600 score with 2 collections and 2 chargeoffs valued around $20k. Now that I have my house I am just going to sitback and watch the TL's falloff. Remember a paid charge-off is pretty much the same as a charge-off
Well I sent my DV letter about 3 days ago now and they said I would hear something within 30 days. So I guess we will see what happens. My credit union and another mortgage company that we got rates on both said it needed to be taken care of before we closed on the new home.
