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Mortgage w/ Collection


akins503
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I want t by a house soon. I have been working on my credit for about a year. My ficos are Ex = 765 TU = 710 and Eq =701. I have only one neg on all three reports. It is from an old business that I had and I personally guaranteed a bond. I have disputed it many times and I have tried everything to get it removed. The amunt is $15,000.00. The charges are crazy and I am not paying them. I don't agree with them and consider them unauthorized. What are my options.

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1. Take a subprime loan (if anybody at all is still writing them) that will allow you not to pay off the old collection.

2. Wait for the collection to drop off your credit reports or for the creditor to sue.

3. Engage with the creditor and settle the matter ... you'll have to pay something. Negotiate for PFD, or the best possible change in how the collection is noted.

Those are your choices.

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Great credit but one haunting item? Sounds like you've been stubborn about this, but you'll need to change thatif you want a mortgage.

The creditor offered to take $6000.00. I agreed about a month after they made the offer. They then took the offer off the table. This is why I am so mad.

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The creditor offered to take $6000.00. I agreed about a month after they made the offer. They then took the offer off the table. This is why I am so mad.

So offer 'em $5,000. Seriously. Certified funds by overnight delivery. Wait until about the 15th or so to offer that. See what happens.

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On certain approvals (which I've found out to be most), on owner occupied 1-unit properties, Fannie Mae does not require collections/charge-offs to be paid if they do not affect their lien position. I would not recommend someone purchase a home with a sub-prime mortgage unless the home is way too good of a deal to pass up.. however in this market there are surely going to be more deals to come.

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