Could not get approved for first time home purchase...advice please!

[Anonymous]

I am so happy to have found this site, I only wish I had years ago, my husband and I have been trying to get our credit in better shape and it feels like we are just chasing our tails sometimes... our scores are between 515-580. I guess my main question is I have an account in collections with Arrow financial services which does not have the date it was opened, only that it was last reported in 06 and I have no idea what it is pertaining to.... also the big one is with Portfolio recovery, it is an old Providian acct and they are trying to say I owe 5500 when I know it was only 3000. I am not sure how to go about these, we need to get our scores to 620 and have nothing in collections so I feel really overwhelmed...I would appreciate ANY advice, we dream of being able to someday buy a home--thanks!

[Anonymous]

Welcome aboard R4S, I am still a newbie at this but I will take a stab at it.  You need to send Asset a debt validation letter read the posting below:

Debt Validation
http://ficoforums.myfico.com/fico/board/message?board.id=generalcredit&message.id=4328

I would also read the Credit Scoring 101 on the General Credit Issues forum as well to get some more ideas on different types of letters that you could send to get further verification of that debt with Portfolio that you are disputing, maybe even send a dispute letter to the credit bureaus.  I hope that I am telling you the correct info, I think I am, but maybe one of the "elite's" can confirm this for sure.

Good luck.