three questions

I'm attempting to clean up my credit, and would appreciate any suggestions on the following:

1. How long does a federal and state tax lien stay on my credit report after it has been paid in full?

2. SPRINT - paid in full 11/5/04. Still appearing on credit report. How can I get it removed?

3. Charged-off credit cards - do I try to negotiate with the collection agency or the original creditor?

Thanks


MILA6062,

I started cleaning my credit before I attempted to get a job that required a rather extensive investigation several years ago. I've never owed more than $1000 to anyone in my life, but I moved quite a bit, and had a bunch of stupid collections for small amounts to deal with. I had success removing most of them. I'm neither a "professional" in the credit repair business, nor am I an attorney.

Question 1. I don't know. I've never had a tax lien problem. Why don't you put in another post with just that question.

Question 2. Is the Sprint listed as a collection account. In other words, who placed the information in your credit file? It makes a difference.

Question 3. Most charge offs (debts) I'm pretty sure are "assigned" to a collection agency (CA) rather than "sold". When they are "assigned", this means that you still owe the credit card company and not the CA.
I would not communicate with a CA under any circumstances. I would proceed with caution on your negotiations. Don't negotiate on the telephone. Go to the post office and get a handful of the little green cards (postal service form 3811) along with a handful of the green sticky Certified Mail Receipts. These receipts are serial numbered. When you send a letter, type "VIA CERTIFIED MAIL # 1234 5678 9..." underneath the date at the top of your letter. This creates a record of your correspondences. This is useful in a number of instances when you send important letters, but it is ESSENTIAL if you are attempting to validate these debts with a CA. It sounds like all of these charge offs are rather recent. I have only dealt with small amounts (like $80) with cable companies and electric bills that were really old. I'm not really sure how you should proceed with the Credit Card companies. I know that even if you pay them in full today, the information in your credit report will remain for about 7 years. Hopefully now that I have responded to this, my lack of experience will piss off somebody who can really help you out, and they will step in.

You're in the right place to find answers. Be patient. The clean up takes a lot longer than making the mess. Don't do anything unless you know what you are doing. Don't talk on the phone. Don't believe anything that a Collection Agency says.

Good luck,

GABOOZ

 

1. I'm not too sure about the tax liens. Do a search on this board. I know that a question like that was posted within the past few weeks.

2. Even though the account is paid in full, the CA or OC will report that in is paid or settled in full with a $0 balance for the next seven years.

3. I agree with GABOOZ. Any correspondence between you and the CA should be by mail only w/CRRR. Sometimes it is hard to negotiate with OCs once they turn over your account to a CA. I know that there are certain sections of the FDCPA (I think that is the acronym) that states that the consumer has the right to negotiate with the OC instead of the CA but I can't remember it offhand. Some of the veterans here probably could help you better with that or you can do a search on this topic, too.

Good luck!

 

Tax liens remain for 7 years from date PAID
note: some states i.e.: NY State allow for removal of derogatory info after 5 years
note 2: some states consider tax liens as ordinary civil judgments, rather than tax liens, so they could be off your report in 7 years, although they still may be open