Should I settle or not?

Discussion in 'Credit Talk' started by wind, Aug 7, 2003.

  1. wind

    wind Member

    I have an 5 yrs old charged off account. Only OC reported as sold account and zero balance. I guess the SOL is also up.

    Do I need to settle this account before going for a mortgage?

  2. malviti

    malviti Active Member

    It would help for sure. Dispute as not mine with CRA
    Good luck!

  3. Phreedom

    Phreedom Well-Known Member

    Ok I'll try to help here but DEFINITELY don't take just my word for it. First off, if you pay it, that will possibly reset the seven year clock. I've read that it does and doesn't...check into it first. Second, chances are the original docs are LONG gone. You have to consider even if the clock isn't reset, you have two more years left.

    You may want to consider a validation letter to the OC. Given it is that old, chances are they wont be able to validate.
  4. wind

    wind Member

    I sent OC a validation letter and got respond as the account has been sold and it's shown $0.0.

    What should I expect from a validation letter? a copy of my signed contract? If OC could not provide me it, OC must remove the negative TL...?

    If it's shown $0.0 balance, why should I have problem for a mortgage?

  5. uniondiva

    uniondiva Well-Known Member

    if oc says it shows 0 balance, what does it say on credit report. does oc letter say who it was sold to?

    I would dispute as not mine with cra and see what happens, then send ca a validation letter!
  6. merlin

    merlin Well-Known Member

    If you are applying for a mortgage, leave this alone! Right now you show a zero balance (if I am understaning correctly), so the mortgage company will not care whatsoever about this account -- as far as they are concerned it is resolved.

    The only reason you would want to even touch this is if it is significantly lowering your score.

    If you start messing with this all kinds of odd things can happen -- possibly a collection agency suddenly shows up on your CR, lates that are not currently listed can show up, the status could change from sold to collection, etc.

    I have several "sold" accounts with a zero balance on my CR. They are not collection accounts, they are mortgages that were sold from one company to another.

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