rookiegirl77 Posted April 28, 2005 Report Posted April 28, 2005 I pulled my experian credit report today. I haven't done this before and have some questions.First, I need to summarize my history. Through some financial setbacks last year, four of my accounts were affected. I didn't try to get away from paying them, but took time off which ended in one charge off and three collections.The Collections:The three collections, I have an arrangement with monthly payments and (A) will be paid off by October of this year, ( by March of next year and © by May of next year. However, I'm about to start a new job and I will be able to pay off the remaining balance for (A) by June or July and for ( & © in November or December of this year.My questions, what is the best way to approach the CA with these payments to have the statement on my credit report be as positive as possible. Will it have to say that it went to collections? Is there was to remove that aspect? Can I get them to state..."paid as agreed" in the comments. I just want it to be as soft of a deliquent account as I can legally do. I am excited to finally have these large debts taken care of but I want some sort of positive remark to remark. Second, on account ©, I have not missed a payment for the past year, when the payment plan/agreement was implemented, yet two months ago on my credit report it states that there was a payment 30 days late. I have proof that it was indeed paid as agreed. So I know I can dispute this aspect of the account. Does this discrepancy help my case?Now for the charge off -In February of 2004, in the midst of my financial problems, one account got charged off. I am still planning on paying it, but I am saving money on the side, because I tried to work out a payment plan with them and they wouldn't except it. It's higher than the other accounts ($6.3K at charge off and now up to $7.5K). They have offered settlements, but I still didn't have the money. I am planning on saving and then offering them the full payment. What suggestions would you have for this action I am opting to take? Is is unwise? I am aways off with them (about 15 months aside from accomplishing anything) but is there a suggestion on what the OC could do with my credit report report.Thanks in advance. I'm am more concerned about the first question with the collections because that is closer in the future than the second.
divemedic Posted April 30, 2005 Report Posted April 30, 2005 Once an account goes to collections or becomes a charge off (CO), it doesn't matter if you pay or not from a credit score standpoint. FICO treats a CO/collection the same, whether paid or not. The fact that it happened at all is what matters to FICO.The only way to do it is to try pay for delete (PFD), which you should do before you begin to pay anything. Most collection agencies (CA) won't agree to PFD, so before even trying to do that, you should dispute and request validation (DV).Wanting to pay your bills is admirable, but you will find, as most of us here have, that paying a CO or collection is a pointless waste of money.
Dustin Posted April 30, 2005 Report Posted April 30, 2005 So there isn't really an incentive to pay a collection?
divemedic Posted April 30, 2005 Report Posted April 30, 2005 Not really, unless you can get a PFD, but most CA's won't do that.
Dustin Posted April 30, 2005 Report Posted April 30, 2005 can I get in trouble if I don't pay a collection?
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