@Anonymous wrote:
Has anyone opted not to file bankruptcy and settle with creditors or wait until it negatives fall off credit report(7 years I think)?If so has it payed off?
This is coming from someone who is a very good collection agent... I wouldn't bet on being able to SIF or wait out creditors. You could possibly be sued, garnished etc. Just because it's in collections doesn't mean that you can get away with paying less for your debt. Unlike 20/20 likes to convey, most debt isn't bought so you can't settle pennies on the dollar. A good handful of creditors won't even SIF with you, or if they do they want it immediately and no payments. Of course if you're waiting for it to hit collections, you'll get a CO on your credit as well as a collection, both baddies, and then also if they sue you that's on there, if you try to SIF that will also be on there in the verbage of something like "settled for less than amount owed". I wouldn't expect or demand a creditor to report it as PIF, since it won't be.
If you can't pay your debts, and can't resolve them on your own I wouldn't try to wait out a collection agent. Some will just sue everyone, some will sue if they finds assets. It's really not a good idea. If you NEED to file BK for your own personal reasons do that, I think the BK hit on your credit would be less damaging than, 120dpd, CO, Collections, Judgments, SIFs on a credit report.
