@sailor_mercury wrote:
@gdale6 wrote:
@AeroKrix wrote:@Anonymous approved for a CC from Navy Fed for $8k @ 14.4%, no AF... thats a very high limit for me. I have 5 other credit cards with a combined total of $1450 limit. current balance on all 5 cards is $550. Obviously once the $8k card hits my report...my score will jump due to it lowering my overall util.
Sadly, I have one account currently in collections (creditor: AFNI) for $2490 that is set to reach SOL on 09/2016.
My question is... Should I use the new CC to pay off that bad debt right away? or maybe do a BT first? or pay the debt with the new CC and do a BT also?
The reason i mention a BT is because the terms and rates on my other CC's are less than favorable and Navy Fed charges NO BT FEES!!!
First Premier: $700 limit, 36% APR, $75 AF + 14.50/mo "participation fee" ($100 bal)
CapOne Quicksilver: $800 limit, 19.8% APR, no AF ($250 bal)
CapOne Secured: $200 limit, 19.8% APR, $39 AF ($150 bal)
US Bank Secured: $300 limit, 23.99% APR, $35 AF ($50 bal)
Any suggestions?
I would negotiate a settlement with the CA and pay them with a BT.
What I meant was that I believe if you don't negotiate a PFD they can legally reset the clock on your collection. It will show as paid or satisfied but will still report for X years (maybe 7?).
There is a deff a right way and a wrong way to pay off collection items. But the OP already mentioned negotiating a PFD settlement.
Incorrect. This is called reaging and is highly illegal. The reporting of negative information is governed by the CRTP, not SOL. The maximum reporting time is 7 years + 180 days from DOFD. The DOFD is static; to change it would be fraudulent.
@grassfeeder wrote:
@AeroKrix wrote:@Anonymous approved for a CC from Navy Fed for $8k @ 14.4%, no AF... thats a very high limit for me. I have 5 other credit cards with a combined total of $1450 limit. current balance on all 5 cards is $550. Obviously once the $8k card hits my report...my score will jump due to it lowering my overall util.
Sadly, I have one account currently in collections (creditor: AFNI) for $2490 that is set to reach SOL on 09/2016. Since you're in CA, just let this expire as they can not sue you any longer and damage is already done. You've taken a vast majority of the hit in score already. Money is better spent paying down the bellow advise.
My question is... Should I use the new CC to pay off that bad debt right away? or maybe do a BT first? or pay the debt with the new CC and do a BT also?
The reason i mention a BT is because the terms and rates on my other CC's are less than favorable and Navy Fed charges NO BT FEES!!!
First Premier: $700 limit, 36% APR, $75 AF + 14.50/mo "participation fee" ($100 bal) - BT to NFCU and close card.
CapOne Quicksilver: $800 limit, 19.8% APR, no AF ($250 bal) - BT to NFCU and keep account open at $0 balance until NFCU is paid down to 10% UTL, then use sparingly every 3rd month to keep open.
CapOne Secured: $200 limit, 19.8% APR, $39 AF ($150 bal) - BT to NFCU and close card and get deposit back.
US Bank Secured: $300 limit, 23.99% APR, $35 AF ($50 bal) - BT to NFCU and close card and get deposit back.
Any suggestions?
If this were me - here's what I would do. See above in red. Yes, it sounds like a lot of card closures however you're no longer in need of those secured cards. Get your deposits back and put that money immediately into paying down to BT's over to NFCU. The First Premier card is a money pit. Now that you've obtained the solid CL on NFCU, small secured cards will do more harm than good. It's a waste of secured liquid assets as well as needless AF. This will leave you with 2 solid, prime credit cards in the Cap 1 Quicksilver and NFCU. That's all you need. Get them all paid down and let them grow.
The CA can still bring the unpaid debt to suit after SOL has expired. It is the debtor's responsibility to show up in court and ask to have the case dismissed due to expired SOL. Regardless, while everyone has different beliefs, I would seek a settlement for the debt. In the past, I settled baddies for as low as 30% of the balance.