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Negotiating charge off with American Express

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Anonymous
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Negotiating charge off with American Express

Hi,

I have a charge off from Amex from around 2012 or 2013. I have enough money to pay it off now. My main priority is getting the derogatory stuff off my credit report. I've heard there are circumstances where Amex removes a derogatory account before the statute of limitations is up. They're currently not reporting with all bureaus.

I called the number on my credit report and they tell me that if I pay they'll reinstate my same card with a limit of $2000. This sounds doubtful as my card was a green card, which is a charge card and should not have a limit, right? I asked them if this was very well a green card and they said "yes". So far, they're very polite and since I called them, I'm pretty sure they're legit. They do not seem to be in a US call center (all Indian accents) and they say the calls are being recorded and happily give me their full names each time we speak.

However, they have not agreed to send me anything in writing until I agree to give them a postdated electronic check. That is, they say if I give them my routing number and authorize them to take money from my account in three or so days, they say they'll express mail a letter of our agreement (reinstatement etc). This part sounds really fishy. I told them, I'd prefer to have it in writing before aggreeing to pay.

So I'm not sure if this is legit, if this is the Oasis program (they didn't mention that name--and that program seems to issue a new card, not the same one).

Thanks for any advice you have!

5 REPLIES 5
Blackswizz750
Established Contributor

Re: Negotiating charge off with American Express

Tread lightly here before doing this. If you are not sure call the number off the site and reference the conversation and see how that CSR react. I have never heard of Amex just granting membership that quick after a chargeoff, and you have not been collected on or sued. I am sure others who have been reinstated can talk more on this.
Message 2 of 6
Anonymous
Not applicable

Re: Negotiating charge off with American Express

Global credit and fraud operations are based in India, and everything you relayed is within normal AXP pattern. You further being informed of a $2,000 limit on a Green Card is also correct. Due to the delinquency, AXP is not willing to reinstate your card with no preset spending limit at this time. You will be reinstated with a Global Limit of $2,000 until further notice if you proceed. I hope this helps to clarify and reinforce your confidence in the phonecall.

Message 3 of 6
Anonymous
Not applicable

Re: Negotiating charge off with American Express

Is it normal that they won't send me anything in writing?

Also, they claim I'll be getting the same card. This doesn't seem to make sense as, from what I've heard, people get a different type of card or at the very least a different account.

Finally, what effect will paying a charge off in full have on my credit? Should I expect to see an immediate bump or will this just make things better over the next few years?

Thanks

Message 4 of 6
Anonymous
Not applicable

Re: Negotiating charge off with American Express


@Anonymous wrote:

Is it normal that they won't send me anything in writing?

Also, they claim I'll be getting the same card. This doesn't seem to make sense as, from what I've heard, people get a different type of card or at the very least a different account.

Finally, what effect will paying a charge off in full have on my credit? Should I expect to see an immediate bump or will this just make things better over the next few years?

Thanks


@Anonymous

 

I will let Pooka89 answer the question about the card but he did say everything you were told was within their pattern.  While he is not currently, he was an Amex employee and is very familiar with their policies.

 

As for your question about the chargeoff and score.  Paying off a chargoff or collection does not change your score at all as it still just shows as a charge off, just one that is paid.  It can help however on a manual review of your credit report.  Good luck.

Message 5 of 6
Anonymous
Not applicable

Re: Negotiating charge off with American Express

Yes, it's normal that they will not send you anything in writing.
Message 6 of 6
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