ecugis03 Posted March 28, 2007 Report Share Posted March 28, 2007 My wife and I were shopping for homes, and when we went to get prequalified a collection popped up from Credigy. This collection is for a CC debt from 5-6 years ago. I live in NC, and the debt is well past SOL. Basically the lender told us I would have to settle with them to get this removed. The original balance when charged off by CC was around $1000, of course they now have the debt jacked to $3700. In an attempt to settle this in the fastest manner possible I called them to settle. I DID NOT state that the debt was mine, just that I wanted to get this off my CR. They were VERY stubborn, and nearly impossible to deal with, offered 90% settlement, and only if I paid within the month. I refuse to pay over the phone, I feel like I should get a written settlement offer. They say if I wait until next month they may not be able to even give me a lower settlement, and they would have to add interest for the month of March. I am scared as to how much this is going to increase if I don;t pay it this month. This is the LAST negative on my CR, I have Score of 660-677-698, so hopefully if I settle this I will be near 700. Thanks in advance!! Link to comment Share on other sites More sharing options...
Recovering Attorney Posted March 28, 2007 Report Share Posted March 28, 2007 I might go look for another mortgage broker. Try disputing the tl, see if you can shake it. But wait, it's a CO, it's yours, right? A debt you walked away from 5 yrs ago? If you weren't buying a house would you even have bothered? See if they'll take 80% and be done with it. The house is more important. Link to comment Share on other sites More sharing options...
thomassl Posted March 28, 2007 Report Share Posted March 28, 2007 The statue of limitations for North Carolina is three years. In regards to interest, the collection agency is only allowed to add interest to an account if interest was part of the original contract between you and the creditor if you defaulted. North Carolina is also one of the states that if you make one single payment on the account after it's charge-off or in collections, you reset the statue of limitations. You noted that the charge is 5-6 yrs. old. Do you know exactly from your credit report and is it your account? As 7 yrs. is the maxmium amount of time it stays on your credit report, check to see actually how close you are. If you are not in a hugh hurry to buy a house and you can wait out the time, I would wait and have it fall off. You also have the option of looking for another lender. There may be others on the forum with additional ideas but I waited on mine and ended up with a most beautiful home. Taking more time also gave me time to read up on home purchasing, mortgages, home inspections, etc. to make the best decision. Hope this helps! Link to comment Share on other sites More sharing options...
ecugis03 Posted March 28, 2007 Author Report Share Posted March 28, 2007 We decided to put house hunting on the back burner for now so I can get this cleared up, and we can come to the table with more money in 6-12 months. I have spoken with two attorneys here in my area and both have said it is a tough situation, that basically I am in a stand off. The debt is past SOL, but they continue to report, so basically my only option is to settle. Has anyone had a similar situation with them not willing to go below 80%? I mean that bought this dang debt for probably $100. Link to comment Share on other sites More sharing options...
ecugis03 Posted March 28, 2007 Author Report Share Posted March 28, 2007 The SOL is reset if I settle??? That is not what I was told by the Consumer Protection Agency when I called to inquire about the SOL guidelines. I was told they CANNOT re-age/reset the SOL. It is from DOLA on the OC. I just want to get rid of this thing, from what I understand if I let it sit, there is nothing stopping them from reporting it from now until 20 years from now. Or another CA popping up later. Link to comment Share on other sites More sharing options...
thomassl Posted March 28, 2007 Report Share Posted March 28, 2007 The SOL is reset if I settle??? That is not what I was told by the Consumer Protection Agency when I called to inquire about the SOL guidelines. I was told they CANNOT re-age/reset the SOL. It is from DOLA on the OC. I just want to get rid of this thing, from what I understand if I let it sit, there is nothing stopping them from reporting it from now until 20 years from now. Or another CA popping up later.I don't think you quite understood. The statue of limitations is reset if you "pay" on the debt! For example, if you have a debt of $1000 and you start sending in payments each month, the SOL, in your state, resets. If you settle the debt, I would most certainly ask for a PFD otherwise it will sit on your credit report as "paid". Link to comment Share on other sites More sharing options...
nascar Posted March 28, 2007 Report Share Posted March 28, 2007 Has anyone had a similar situation with them not willing to go below 80%? I mean that bought this dang debt for probably $100.I got a delete from Credigy. They got $0.00. NCDOI has very little tolerance for Credigy Receivables. Let them help you. Link to comment Share on other sites More sharing options...
ecugis03 Posted March 28, 2007 Author Report Share Posted March 28, 2007 What is NCDOI? All I could find is the NC Dept of Insurance? Link to comment Share on other sites More sharing options...
ecugis03 Posted March 28, 2007 Author Report Share Posted March 28, 2007 Ok nevermind, I found the section of NCDOI dealign with collection agencies. What exactly can they do? All I really want is to settle the matter and get it off my report, 80% is just too high though and Credigy refuses to budge. Link to comment Share on other sites More sharing options...
GucciMark Posted March 28, 2007 Report Share Posted March 28, 2007 Read these 2 links, very informative….you may get this off without paying...also, when my last collection came off my score went up 70 points.another person reported 90 points.imagine how much interest you can save over the life of a loanso it is worth waiting to get this off.Primer http://www.debt-consolidation-credit-repair-service.com/forums/showthread.php?t=263069WorkFlow Charthttp://www.creditinfocenter.com/rebuild/debt_validation_workflow.shtml Link to comment Share on other sites More sharing options...
Tried Posted March 28, 2007 Report Share Posted March 28, 2007 If SC allows for Restricted Endorsements and a Non Disclosure Statement you could send the payment by cashiers check with the agreement on the back and then dispute with the CRA's, the Non Disclosure would prevent the JDB from verifying so the CRA's would have to delete.Is this the group from Suwannee GA?If so with a little encouragement they will likely violate on the phone, very demeaning and sarcastic.Is SC a one party recording state?When I DV'd them they neglected to note it as in dispute on EX, violation. Changed the date on a 20+ yr old address to current on EX about 6 months before they sent the first letter. Also, they took the full 90 days to update 2 TU and EQ after a flurry of activity within the 45 days from the first dunning letter. Personally, if you've put the house on the back burner, I'd let it die off. Just get hard copies of your CRA's and all the back up you'll need if they sell it later to prove it's past SOL for collecting and reporting. Link to comment Share on other sites More sharing options...
kevin3344 Posted March 28, 2007 Report Share Posted March 28, 2007 (edited) First of all, stay off the phone. If this debt is from 5-6 years ago you are doing yourself a disservice by paying it. Never call a CA to make arrangements; you're fortunate they didn't ask for 100% since they know you're in the market to purchase a home.Bottom line is, find a new lender. I bought a home in NC 2 years ago with an $8k charge off, so anyone who is telling you that it must be paid is lying. And another point, why haven't you DV'd this CA?________HURT FROM PAXIL Edited September 9, 2011 by kevin3344 Link to comment Share on other sites More sharing options...
kevin3344 Posted March 28, 2007 Report Share Posted March 28, 2007 (edited) I just want to get rid of this thing, from what I understand if I let it sit, there is nothing stopping them from reporting it from now until 20 years from now. Or another CA popping up later.The reporting time is fixed from the date the account goes delinquent, it's 7 years. No matter who has the account or how many times it's sold. If this account has already been on your reports 5-6 years, it has one more and that's it. Paid or not.The FCRA requires CAs to provide the Date of 1st Delinquency to the CRAs so that items do not remain on your CR longer than the 7 years.________HOW TO ROLL A JOINT Edited September 9, 2011 by kevin3344 Link to comment Share on other sites More sharing options...
ecugis03 Posted March 28, 2007 Author Report Share Posted March 28, 2007 I dv'ed them last year, and they sent verification from the OC, account numbers and all. And they have reported it every moneth since. I have spoken with collections attorneys and both gave me the exact same answer, they will attempt to collect this unless I settle. They can still attempt to collect past SOL, just not take me to court. Basically they said it would be a stalemate, they would hold my credit hostage. Link to comment Share on other sites More sharing options...
kevin3344 Posted March 28, 2007 Report Share Posted March 28, 2007 (edited) This is the LAST negative on my CR, I have Score of 660-677-698, so hopefully if I settle this I will be near 700.Remember if you settle this, that doesn't mean they will delete it. This could lower your score in the short term. I would leave it alone and find a lender who would make the deal with it on your CR. I had a mid-score of 621 when I bought my home, so I'm sure with your score in the high 600s you shouldn't have a problem. I just don't pay CAs...but that's just me.________Cutiesblondxxx cam Edited September 9, 2011 by kevin3344 Link to comment Share on other sites More sharing options...
thomassl Posted March 28, 2007 Report Share Posted March 28, 2007 The SOL is reset if I settle??? That is not what I was told by the Consumer Protection Agency when I called to inquire about the SOL guidelines. I was told they CANNOT re-age/reset the SOL. It is from DOLA on the OC. I just want to get rid of this thing, from what I understand if I let it sit, there is nothing stopping them from reporting it from now until 20 years from now. Or another CA popping up later.I apologize as I need to make a correction in regards to your state on SOL. It's South Carolina that resets the debt if payments are made. North Carolina needs a new written promise of payment to reset. It has to be in writing; however, remember if you do settle, unless you get a PFD, pay for delete, it will still be on your credit report. Link to comment Share on other sites More sharing options...
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