You can wait until the SOL runs out, but your creditors may sue you before they do. Like you, I had a large amount of debt I couldn't pay back. My husband's pay was cut in half and we just couldn't afford the payments any longer. I tried to do everything in my power to pay on time until one morning I woke up and decided I couldn't do it any longer. I spoke to an attorney who informed me I should file. My debt was over $120K. That did include a car that would be give back. Once I hired the attorney there was this wonderful sense of relief. I had to make payments to the lawyer and during that process, I got served by a creditor. Well, because my bankruptcy was finally filed, they had to stop court proceedings. Thank goodness! Anyways. If you have that many accounts that you have not paid on in over a year, you probably have a large amount of debt, fees, interest.
If you settle the debt, it gets reported on your credit as settled in full. This on your credit is not that good. If you file bankruptcy, seriously, your credit is already damaged. If you file you will get a clean start. Plus you are so young. I know people who get home loans and other types of loans after they filed bankruptcy. Sending validation letters only says to the collection agency you are disputing the debt. They are lazy. All they will do is send your account back to your creditor. The item will not be removed from your credit. It will possibly get transferred to another agency or they might take legal action.
My advice, file bankruptcy now and get it over with. If you want to pay the collection agencies, try to get the lowest settlement possible. Good luck.
