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New to This Forum, Need Advice


Rmich
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I've posted in the mortgage forum and have been reading the posts in this forum. It has been extremely informative.

I have been researching my options regarding buying a home. I'm trying to get all the information I can before initiating the process.

I pulled my 3 reports from myfico for the first time.

I had a car lease that was opened in 1995 that lists 16 30day lates on ex and tu. Eq accurately shows 3 30 day lates. The last 30 day late was reported on 10/99 on the last "date of status"(not sure what this means) is 3/00.

The other problem that might occur is that there was an $800 balance left when I turned the car in. This debt went to collections and was paid off this past summer. The collection is not showing on any of my reports.

Should I send a letter for debt validation for the inaccurate lates? If I do, could they somehow find out that they didn't report the balance that went to collections and add it to my reports?

I currently have 13 accounts. 8 with negative remarks(6 revolving, 2 installment) and 5 with positive remarks(1 revolving and 4 installment). My credit history is 9yrs. 4mos.

Since I would like to apply for a mortgage very soon I'm afraid that the disputes might temporarily lower my score. Right now my scores are a little low for a conventional mortgage and I don't want it to go lower at this time.

EX - 569

TU - 633

EQ - 641

Any advice would be appreciated :)

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The other problem that might occur is that there was an $800 balance left when I turned the car in. This debt went to collections and was paid off this past summer. The collection is not showing on any of my reports.

Should I send a letter for debt validation for the inaccurate lates? If I do, could they somehow find out that they didn't report the balance that went to collections and add it to my reports?

Debt Validation is ONLY for Collection Agencies which are bound by the FDCPA. The FDCPA does not apply to the original creditor.

If there is no collection showing up on your credit report even after you paid off, then you don't have to worry about the Collection Agency.

What does the original creditor say?

Does it say paid collection???

What does the trade line exactly say...

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I've posted in the mortgage forum and have been reading the posts in this forum. It has been extremely informative.

I have been researching my options regarding buying a home. I'm trying to get all the information I can before initiating the process.

I pulled my 3 reports from myfico for the first time.

I had a car lease that was opened in 1995 that lists 16 30day lates on ex and tu. Eq accurately shows 3 30 day lates. The last 30 day late was reported on 10/99 on the last "date of status"(not sure what this means) is 3/00.

The other problem that might occur is that there was an $800 balance left when I turned the car in. This debt went to collections and was paid off this past summer. The collection is not showing on any of my reports.

Should I send a letter for debt validation for the inaccurate lates? If I do, could they somehow find out that they didn't report the balance that went to collections and add it to my reports?

I currently have 13 accounts. 8 with negative remarks(6 revolving, 2 installment) and 5 with positive remarks(1 revolving and 4 installment). My credit history is 9yrs. 4mos.

Since I would like to apply for a mortgage very soon I'm afraid that the disputes might temporarily lower my score. Right now my scores are a little low for a conventional mortgage and I don't want it to go lower at this time.

EX - 569

TU - 633

EQ - 641

Any advice would be appreciated :)

First you need to dispute the inaccurate lates to the CRAs. Most companies don't keep their records on closed accounts immediately available for very long. Based on the dates you stand a pretty good chance that the CRA will not be able to verify the late payments (even the 3 reported correctly). Dispute in writing to all three CRAs as "paid on time-never late." Disputes will not lower your scores at all. Since you are disputing only lates, they shouldn't remove the entire tradeline, just the part that can't be verified.

Considering how may accounts you have with negative marks, I'm suprised at how high your FICOs are. Not to worry too much over it. Most lenders pull all 3 of your FICO scores and use the middle score when doing mortgage applications. My middle score was 635 when I bought my house in June of last year and I still got the best FHA fixed-rate.

Here's the big-kicker though...you must settle all unpaid delinquencies before closing if you go the FHA route. If you have a CO, you gotta pay it; If you have a judgment, you gotta pay it off; If you are 30 days late on an account, you have to catch up -- otherwise they won't let you close the deal. This is a requirement to ensure that there will be no lien claims against the property immediately upon closing.

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Thank you very much Methuss. I will send a letter and dispute those lates.

The majority of my lates on the other accounts are from 1998.

I disputed one account(credit card) that is showing twice on my account. It is listing a balance due but the bank merged and the account transferred to the new bank. Hopefully I can get a response soon from that dispute. I was also hoping that the mortgage person could do a rapid rescore.

I'm hoping that I can go FHA also for my mortgage.

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Thank you very much Methuss. I will send a letter and dispute those lates.

The majority of my lates on the other accounts are from 1998.

I disputed one account(credit card) that is showing twice on my account. It is listing a balance due but the bank merged and the account transferred to the new bank. Hopefully I can get a response soon from that dispute. I was also hoping that the mortgage person could do a rapid rescore.

I'm hoping that I can go FHA also for my mortgage.

Combine the FHA with a Nehemiah grant if you need to pay off any outstanding balances.

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