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samsun

I am trying to come out of a mess i made and i want to get back to normal life

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Hello,

 

I have been reading this forum and finally got the inspiration to face this mess which i was hiding from all these days. Embarassed by peoples advice and loooked down on other forums i gave up hope but this website mite be my last stand so any help will be greatly appreciated.

 

So, i have a awful credit history. I just pulled up my CR from transunion n my score is 520. I am trying to understand my report. It says i have 13 accounts 7 open 6 closed 12 derogoratory with a total debt close to 21k.  0 delinquent 0 payments 0 public records and 0 inquiries in 2 years -  i have been laying low for last 4 years. 

 

Q1. what is revolving accounts with open end term mean 

there are 5 of them

one a CC acc says closed with 0 balance from 2007,

second 2  CC balances 0 - closed (paid) but remarks one has charged off as bad debt and other bought by another lender .

4th and 5th in deragoratory condition with a balance - with remarks charged off as bad debt cancelled by grantor but still recently reported last month whicle 5th is cancelled by grantor.

 

Q2. What is installment accounts - fixed terms with regular payments

two from LVNV saying deroratory - charged off with more balance factoring company account.

there are 6 others in deragoratiry- placed for collections from midland asset acceptance accounts. they have account dates in 09 n 10 but i opened those cards in 06 its in 09 n 10 i went into  hardships n cudnt pay.

 

I understand my post is long. But wud remember each one of u who can help with guidance in this issue. I want to get back to normal life and pray for u all for all the help. I had all these cards were close to 10k when i hit bottom and i didnt had money to pay now they are over 20k more hard to pay. Some one told me back then that if i lay low for 7 years all will b cleared off so i didnt do anythin all these years but recently found these junk buyers keep reporting and keep the debt alive. 

Again thanks for ur time effort n understanding

 

sam

 

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Hi Samsun,

 

You've come to the right place for help with these issues, and don't for one moment feel embarassed by this situation or any naysayers. Four years ago, the time frame when you describe this issue began, was the height of this country's recession and banking crisis. Much of the "bad credit" from that period of time is not a result of consumer's bad intentions, but circumstances beyond their control.  

 

Revolving accounts are generally credit card accounts. Installment accounts are generally fixed term loans. 

 

I suggest you pull all three credit reports, so you know how you stand with each of the three credit bureaus. You're entitled to one free credit report per year, so please also pull your Equifax and Experian reports through annualcreditreport.com. It is helpful to create a list, or chart of all negative items reporting to your credit bureaus. I don't believe you should wait seven years to begin repairing your credit. Now is the time to tackle this.

 

Read the stickies on this Credit Repair forum and familiarize yourself with the dispute letters. You'll be amazed at how much progress you'll make with initial dispute letters to the collection agencies and credit bureaus. Don't dispute anything online (mail all dispute letters) and don't speak to the collection agencies by phone. I would stay away from any partial payments or payment plans with JDB's or CA's as it will re-age the debt on your credit bureau reports. If you wish to pay off an account, you are entitled by law to deal with the original creditor. If you find improper re-aging occurring, or any other dirty tricks, you may wish to file a complaint with the Consumer Financial Protection Bureau at consumerfinance.gov. However, before you go there, I think you need to pull all three reports and go through your first round of dispute letters to see where you stand with all of the parties.  

 

Organize first, and keep records of the letters you send and the dates of your disputes. Be patient and keep at it. You'll be amazed at how much progress you will make in just 3 - 6 months!

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You have a lot of questions there...we'll help if we can...here's some things to get you started...

 

"Open end" accounts are usually CCs.  No fixed payment or paymment period.  The ones showing closed with a $0 balance have been sold.

 

"Installment" accounts usually have a fixed payment and and fixed number of payments.  The creditors you list for your installment accounts are what are known as junk debt buyers...which means they bought a "written off" account and are claiming, incorrectly, its now an installment account.

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@samsun

 

 

Q2. What is installment accounts - fixed terms with regular payments

two from LVNV saying derogatory - charged off with more balance factoring company account.

there are 6 others in deragoratiry- placed for collections from midland asset acceptance accounts. they have account dates in 09 n 10 but i opened those cards in 06 its in 09 n 10 i went into  hardships n cudnt pay.

 

Installment accounts are things like mortgages or auto loans.  Did you have an auto repossession?  A mortgage

 

If you have Midland on your credit report you should be able to get those off.  I would send a Debt Validation letter to Midland referencing each of those accounts.  Some readers recently had some success with doing that and getting Midland off of your credit report.  

 

Also, read this article: 

 

http://www.creditinfocenter.com/repair/Repair.shtml

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Here's a little more information you should know.   On this site, OC means original creditor (the business with which you had the account).  JDB means junk debt buyer.  That would be a business that bought your debt from the OC. 

 

"Transferred" and "sold to another lender' means the OC sold your account to a JDB.  That's why the OC is reporting a -0- balance.  Once an OC sells an account, they no longer own the account, so they can't report a balance.

 

On your credit reports, check the date the OC gives as the date of first delinquency.  Negative entries are deleted off of your credit report 7.5 years after the date of first delinquency.  Not only will the OC's entry will be deleted, but if a JDB bought an OC's account and is reporting, that JDB's entry will be deleted at the same time as the OC's entry.   All of those negative entries are going to eventually disappear.

 

Also note that the statute of limitations for collection lawsuits in NV is 4 years.  Have you made payments on any of those accounts within the last 4 years?

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Thanks a lot guys for your valuable responses. They are quite informative encouraging and most of all supportive. So i pulled my 3 in 1 report from EQ as well as ind reports from TUand EXP. The credit scores are more or less pretty close so thats one observations. 3 in 1 says TU-599 EXP- 566 EQ- 570 and individual EXP is 562 and TU is 575.

 

@admin no i never had a mortgage. Had auto loan lended by dealer not thru bank and the car was completely paid off. Never had a reposession.

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one thing i didnt find is DOFD. I looked at all reports and there is no mention of DOFD. how do i find it.

 

also asset acceptance had two "other accounts" on my CR. both from citi and amex. now it says date opened is in 2009 and 2010. I have stopped using CRs in that period these are the cards i obtained back in 05 and 06 period. some thing to notice here?

 

also of the three revolving, installment and other accounts which one type wud b good to start with.

 

thanks again

sam

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also if i b moving to a diff state in couple weeks. The SOL for that state is 5 years. How would that effect me going from 4 to 5 year range state thanks

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one thing i didnt find is DOFD. I looked at all reports and there is no mention of DOFD. how do i find it.

 

If the original creditors are not reporting a date of first delinquency, perhaps they're reporting a date of last activity.  That may be the same thing.  Also, some credit reporting agencies tell you the date that the entry is scheduled to be removed.

 

also asset acceptance had two "other accounts" on my CR. both from citi and amex. now it says date opened is in 2009 and 2010.

 

Asset Acceptance is a JDB.  The "date opened" is the date Asset opened the account in their files.  It doesn't mean that they're claiming that's the date you opened the account.

 

also if i b moving to a diff state in couple weeks. The SOL for that state is 5 years. How would that effect me going from 4 to 5 year range state thanks

 

Any accounts that are already outside the NV statute of limitations should remain that way.   You defaulted in NV, and the SOL ran out in NV.  That shouldn't change because you move to a state with a longer SOL.

 

If any of the accounts are still within the SOL (it's been less than 4 years since you last paid), a collection agency or JDB might try to apply the 5 year SOL of your new state.  I'm not sure how that works.

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@BV80 @samsun

 

If any of the accounts are still within the SOL (it's been less than 4 years since you last paid), a collection agency or JDB might try to apply the 5 year SOL of your new state.  I'm not sure how that works.

It depends on the state law to see how SOL will be applied.  

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@admin

 

You're right, and I wasn't thinking.  The OP needs to check the laws of the new state to see if they have a borrowing statute.

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@samsun

 

Here's the MO statute:

 

Limitations on actions originating in other states.

 

516.190. Whenever a cause of action has been fully barred by the laws of the state, territory or country in which it originated, said bar shall be a complete defense to any action thereon, brought in any of the courts of this state.

 

 

That means that if you opened an account in NV and defaulted on that account in NV, and if that debt is outside the 4-year NV SOL, the cause of action (default on the debt) is also considered time-barred in Missouri.

 

If you have any debts that are already outside the SOL, you can't be sued for them when you move to MO.  If a creditor or JDB attempts to sue you, you'd have the MO statute as a defense.

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Just to clarify...you CAN be sued for an out of SOL debt.  But, if you are, show up...raise the SOL as an affirmative defense...and, if the judge agrees, the creditor doesn't get a judgement.  If you don't show up, they win.

 

And...even after the SOL has run...the debt is still collectable...they just can't use the courts to do it.

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@samsun - If your date of last payment was 4 years ago, I think you'll be fine, based on the excellent info you've received.  

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thanks a lot guys, i will read more into this. I jus got an alert on my credit acct.

 

Your ASSET ACCEPTANCE CORP. account balance has decreased by $806 from $xxxx to $xxxx

 

is it common?

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thanks a lot guys, i will read more into this. I jus got an alert on my credit acct.

 

Your ASSET ACCEPTANCE CORP. account balance has decreased by $806 from $xxxx to $xxxx

 

is it common?

@samsun - FIrst I've heard of it, but it may be common.  :) 

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hi, 

 

finally got a break to start looking into this issue... moved out of state for new job n life after laid off etc. so i pulled my credit report and here is where i am now...

OCs:

one amex   last payment feb 08, removal date nov 14. sol in my state is 5 years... so can i ask CRA to remove it?

same with cap1, two chases with last payment in 05/08, 

 

two from lvnv removal dates in fall 14 what would be the best strategy.... dispute with cra or wait still?  thanks

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@samsun - I have read your other threads and I now see this one.   I would ask the CRA's to remove the one that is passed the SOL.  The others, I would just let them be for now.  

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@lionhunter Thank you so much, for your time and patience in answering all the posts. I wil go through all the information you have provided me with. Thanks again appreciate it. :)

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Do not confuse the legal SOL with the time a CRA can report.  Even if a debt is SOL, the CRA can report it for 7.5 yrs from date of default.....<- that being the LEGAL timeframe...., in reality, the CRAs will delete NLT 7 yrs and if you dispute an old debt, sometimes as early as 6.5 yrs.

 

Aside from challenging your bad TL's, you are going to need to establish new TL's to rebuild.

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Not sure where they are getting the information for such a claim.  

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