I'm 23 I got bad credit my freshman year in college (2000) I still have some good credit that I keep up w/ very well = current Walmart, Targets, Shell gas, Catalog credit card, cell phone, utilities I plan to move out of the house by the beggining of 2006. I'll have about 3500 saved up. Initially, I had planned to pay off some debt w/ that money (make settlements, go through the motions as described in this forum). Now, I'm wondering...should I just use that money to get out of the house w/ and just wait until my 7.5 period comes up, which would be 2007-2010? As far as buying a house, does 7.5+year old debt affect my qualifications?
The object is to remove the negative trade lines from your credit reports. Settled accounts look just about as bad as unsettled accounts as far as your credit score is concerend. The problem here is that when applying for mortgages over 150000$ the credit report can include derogatory information even if it is passed the 7.5 year reporting limit
