Settling current but closed by guarantor ?

[SatelliteGirl]

Hi,

I'm a newbie with several questions before I try to tackle this tomorrow (hopefully), maybe the day after. I've searched and read but there's nothing exactly on point. So if it's a redundant question please don't mock me (please send me the right search term) or if I'm in the wrong place please tell me and I'll try to get to the right place. Sorry about the novel length.

I have 4 cards which on my CR say Closed by Guarantor. They are still with the OC.

1 has been closed for years and I plan to DV immediately (It says late 2 OR 3 times- how can that be? It’s one or the other not both!!!!).

2 are with MBNA- 1 has been paid off for a year and a half. 1 still has a balance (~$500) and has been current for almost 2 years.

1 is with HSBC and still has a balance (~$1500) but is current and has been for over a year and a half.

I'd like to pay them in full and get them to delete it, mark it paid in full or paid as agreed and delete the late payments. (I’m still not quite sure if there’s a difference between these?)

I have several questions---

1) Since I'm current will they be willing to even talk to me?

2) Should I be talking to them or is this best done by letter (I know the info page says it's ok to talk to OCs)? If I call who do I talk to- does it need to be a supervisor or can a regular rep help me?

3) Do I need to get the agreement in writing or will they refuse to put it in writing? (Can I just fax or e-mail a version of the applicable sample letter?).

4) Would it be totally out of line to ask MBNA to delete both accounts for the one payment? (I mean the first account is already paid off and they seem to keep good records, so DVing may not work.)

5) Is there anything I should know before I call- such as they're going to want a check by phone or fed ex?

Thanks in advance! This is an awesome site. It's wonderful to know there are so many other people out there who are willing to help!

[elyse449]

If it were me, I'd dispute the one that's been "closed for years" as "paid, never late" and see what happens.

On the MBNA that's "current for 2 yrs" (as well as the Household) I'd send a goodwill letter to each of them respectively about the late reporting and see what happens. Maybe they'd be willing to take those off since you've been on time for so long now.

On the MBNA w/ that's "paid" again-if it's closed you may try sending the DV on the "paid, never late."

So, now comes MY question: ALL credit cards noted ARE "closed" but you are still paying on them? Is that right?

Elyse

[SatelliteGirl]

Thanks for the reponse, I'll try that.

To answer your question: Yes. All four are closed - two are paid off and two still have balances. Yes I've been paying on them.

One "that was closed for years" was attached to the first bank account I had in college which I closed (ok, withdrew all the money from ) and then never thought about the credit line again (it was paid off at the time). I'm guessing they closed it because I no longer had the bank account? I do plan to dispute that one. I know at least according to the bank rep I spoke with, that they don't have records as far back as the alleged lates. So hopefully it will just disapear.

The other three were CCs. I got into a rough spot when I was unemployed for several months and they were behind. I finally got a job and was able to catch all of them up. So they weren't written off, they aren't in collections and they haven't been sold, the OCs are just no longer extending me credit. I get the bill in the mail, just like before except now my credit limit is zero. The accounts are still with the OC but on my CR it says closed by guarantor, shows a zero limit and the balance due. I've been making payments on time since I recovered from the unemployment, I got one card paid off and intend to pay the other two off completely as well.

Basically, I was just hoping there was a way to negotiate how it's reported. I thought maybe because the account was closed (even though it's not currently past due), it might be enough leverage to let me negotiate a "paid in full" and delete the lates or just get them to delete the whole account, once I pay it off. I just wanted to find out if there was any chance the companies would go for that or if they would act scandalized by the mere suggestion. When it comes to this credit stuff, I guess I just don't understand the rules that they use- It seems like it would be more beneficial to stop paying for a couple of months and then negotiate the delete and pay in full, rather than just paying them off. From both rational and business standpoints, it just doesn't seem to make sense.