debtmamma Posted October 20, 2007 Report Share Posted October 20, 2007 I have one collection on EXP from a bank I had an account with. One day like $250 was taken out, wasn't mine, etc. I called and reported it they said they would investigate. I never followed up with it. I was finishing college, single with my son, working, etc, I didn't pay much attention to financial stuff. 3 years later it's on my EXP report TU and EQ deleted it. I applied for a FHA mortage and they siad it has to be paid or deleted before they can finalize the loan.Friday I sent of a letter to ceo of bank..Anyway do you think I should just pay it? I know it's bad to pay it because then it will for sure stay on there. If I get the loan though I don't think I will really need very much credit in the next 3 years. I have enough credit cards now. thank you Link to comment Share on other sites More sharing options...
Recovering Attorney Posted October 20, 2007 Report Share Posted October 20, 2007 Take it as a life lesson. If the house is important, pay the thing off. Link to comment Share on other sites More sharing options...
myscoresawful Posted October 20, 2007 Report Share Posted October 20, 2007 yes, I would pay it to get a home loan, BUT...only AFTER I had exhausted all other means.First of all, go through the motions, DV them. If it is the OC reporting it, dispute it with them. IF they can verify, try for a PFD. If it is already 4 years old, they might go for it. Be nice to them, make them WANT to help you with a PFD. I don't know what the SOL is for your state on this type of debt, but if it has expired, you stand a better chance of getting it deleted.Good luck. Link to comment Share on other sites More sharing options...
Ahntara Posted October 21, 2007 Report Share Posted October 21, 2007 Many mortgage lenders will allow you to pay collections at closing. The closing agent, or real estate attorney prepares the checks, envelopes and all the paperwork is signed then. This avoids the (sometimes) drop in score that often occurs when you pay off a defaulted account. It also allows you control over the mailing of these 'payments', if the closing agent agrees. You can send them at your discretion. Link to comment Share on other sites More sharing options...
tylemcorp Posted October 21, 2007 Report Share Posted October 21, 2007 Ahntara gave a great tip . I would try that first . If you can't then pay it off. If your goal when you started repairing your credit was to buy a home then why mess around. You can always start the process of trying to remove TL from your CR while sipping on a glass of wine in your NEW living room . Good luck . Link to comment Share on other sites More sharing options...
Moneedshelp Posted October 21, 2007 Report Share Posted October 21, 2007 How much time do you have? If you need immediate results, I would take the tip and see if it can be paid at closing. Otherwise, if with a CA, DV then dispute agian with TU. Have you checked SOL? Link to comment Share on other sites More sharing options...
Jason Posted October 22, 2007 Report Share Posted October 22, 2007 I read here on these forums that many people paid the debt; and then disputed with the Credit Bureaus -"Paid for Delete" and it worked. For several people. If I find it I will show you. Link to comment Share on other sites More sharing options...
Donna47129 Posted October 22, 2007 Report Share Posted October 22, 2007 IMO, if you are needing to close soon I would pay it and dispute it later.Even if you do all the DV stuff and they delete now it can come back later if it gets passed on to another CA. If they do it fast and it shows up as a new collection, it possibly could even hurt your % rates on your home since it would show up as a new collection. Link to comment Share on other sites More sharing options...
DJK Posted October 22, 2007 Report Share Posted October 22, 2007 FHA guidelines do not require collections to be paid off. It is the lenders discretion. I would ask them to go revisit the FHA handbook (4155) and ask them to reconsider. If they will not reconsider your options are to pay it off or find another lender who doesn't required payoff Link to comment Share on other sites More sharing options...
debtmamma Posted October 26, 2007 Author Report Share Posted October 26, 2007 Thank You Everyone Link to comment Share on other sites More sharing options...
razr Posted October 26, 2007 Report Share Posted October 26, 2007 I'd just call the bank and ask for a PFD.-r Link to comment Share on other sites More sharing options...
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