LOANSTAR Posted March 31, 2007 Report Share Posted March 31, 2007 What shoild I do about a 2 year old medical collection/P&L for $10,585, that the lender is now saying it must be paid at or before closing as a condition to approval. This is my first time appling for a Home Loan now that my scores have reached a certain level. With the House being almost ready to close i dont want to make the wrong move in dealing with the collection. Link to comment Share on other sites More sharing options...
someonesomewhere Posted April 1, 2007 Report Share Posted April 1, 2007 Well, you can just pickup the phone, call 'em, and send 'em a check. That will satisfy the conditions your lender stipulated of paying the debt. However, you will then have a paid collection on your CR. There's at least a chance the CA has or will pull your CR, and when they see home loan apps they are going to think you're desperate to pay it so they'll want the full amount.Ideally, you want to negotiate a PFD out of the CA. But it's not exactly easy to extract. CAs are notorious liars. Link to comment Share on other sites More sharing options...
2ndTimeAround Posted April 2, 2007 Report Share Posted April 2, 2007 What shoild I do about a that the lender is now saying it must be paid at or before closing as a condition to approval. This is my first time appling for a Home Loan now that my scores have reached a certain level. With the House being almost ready to close i dont want to make the wrong move in dealing with the collection.Howdy LonestarYou have a 2 year old collection for $10,585 - in the banks eyes, this could be a future lien placed on your property. This is why they want it paid off.If this was paid, get a sat letter to show the bank and send to the C/A's.If it is still open - contact them to pay it. Say a family member is helping you with your bills, ask if they could settle for less? It will be a pleasant surprised if they lower the amount. You will not lose anything by asking.Important - do not mention anything about a home loan.Get the payoff in writing, give to your loan officer. This can be added to your settlement paperwork on your loan. Good Luck... Link to comment Share on other sites More sharing options...
melisadawn Posted April 3, 2007 Report Share Posted April 3, 2007 When getting our house we had to pay med collection also. We did not have time to wait for it to report so I wired a money gram and the collection agency faxed me a paid in full letter to give to l/o. Luckily my work let ca fax it there. Link to comment Share on other sites More sharing options...
Recommended Posts