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I have a tradeline being reported on all 3 CRA's. Was listed as "charge off", with a balance owed. Now listed as "transfered or sold" with a $0 balance. Will this change my FICO? If I try to get a mortgage, is this as good as paid-off?

Also I'm sorry if this is posted twice. I'm not sure which board to use yet. But, I'm learning.

[Edit by doublebuchi on Sunday, May 18, 2003 @ 01:40 PM]

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A chargeoff is BAD... 0 balance is better than the original balance though. A mortgage lender will see this for what it is. A debt you took on and then didn't pay until it was way, way past due and then made a settlement with them for less than you owed. That means they took a loss and the mortgage lender might hit you for that w/ a different rate tha a prime borrower because of the risk inviolved...


But there are some things you can do and we'll help you ...Just answer a few questions :confused:

How soon are you looking for a mortgage?

What are your scores through all three CRA's?

Any other chargeoffs on your report?

Any public records on the CRA's file?

Also is everything correct on report?

Then we can help you get a game plan for some disputing and OC dealings...

Talk to ya...

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Thanks ebubb.

To answer your questions.

I'm looking for a mortgage by Oct/Nov

562 EQ, 582 TU, 571 EX

Yes, there is 1 other CC charge off, but paid by me, $0 balance

No public records

As fas as I can tell, all is correct.

Besides the 2 CC charge-offs, there are several medical collections.

All negative CR items are at least 4 years old. No lates or delinquincies since.

Also, I was told by a mortgage broker and my bank that I could be eligable for FHA with low rate if I pay all old, outstanding debts. That is about $1000 in medical collections. The question I asked origianally, is now that the 1 CC is reporting $0 balance, will this be seen as paid-off?

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Yes.. The CC is paid w/ a 0 balance only after chargeoff though.

My advice to you since you have several months to go till seeking settlement. Is to dispute each item that's neg as "Not Mine".

Every thirty get your ypdated reportand dispute more of them or what's left. Try " Paid before collection" and other types of disputes. Hopefully a few will come off in the process.

Secondly I am asssuming you have no Revolving credit right now. So get a Premier M/C or FNBM card and pay on time for the time you have left. This will lower your scores right away but help them in 3mos or so when they are R1 status. This makes the lenders see you are changing.

If you get a new set of revolving R1( PAID AS AGREED ) and some negs off. You might save yourself the trouble of paying the chargeoffs and get a better score for a better mortgage!

Stick w/ it and it can be done. I've seen much worse on the board and good things happen to them!

Good Luck

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Thanks. I do have positive credit now. 5 credit cards all R1, paid as agreed. An auto loan,current and 2 old auto loans. All "paid as agreed" Also, I did dispute the above mentioned CC as "not mine". That's when they changed it from balance owed to $0 balance. Currently I have disputes with all 3 CRA's. Disputing my old late pays with 2 credit cards and 1 auto loan. There were a few over 30's. My next step is to dispute the medical collections. Although most are less than $100. I have been able to settle some of the old ones with removal from my CR's.

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I did not pay that off. I still owe. I did receive a notice from a CA about 2 months ago. I sent them a validation letter and have not received a reply yet. It has been well over the 30 day period. Also the SOL in Florida is up next month.

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