felixfelicis,
Thank you. If I can be of any help to you, please let me know.
I don't think I did things the way many would have recommended, but I'll share what I did.
First off, I didn't go crazy saving every dime to apply towards my debt. Although I had alot of negative and derogatory indicators on my report, the total of my collections and judgement were only around $7k. But even so, my collections were years old and I think it added pressure for them to hurry and collect on them while they could. The first debt I paid off wasn't by choice, they managed to seize the funds out of my bank account, I didn't have enough to cover it, so my account was froze and that really freaked me out. I ended up paying them in two installments with just the verbal agreement that it would be removed off my credit report. In the end, they kept their word and removed it immediately.
Like I said, it really shook me up, so that was when I decided to go through each of the three credit reports and write down the amount of what was owed and who the collection was with. Then I called the debt collectors and asked them for specific details like my account number and what exactly was owed and what for.
I did what a lot of people recommended, write an agreement to pay atleast half or what the original balance was, with the agreement they would remove it. But so many companies just ignored my request. I think I received two of 10 letters back.
So I decided I would start paying off my debts smallest to largest, by calling them and making a verbal agreement, with the understanding that they would fax or send me proof that it was paid in full and remove it off my credit report. Most times they did. A couple I had to follow up and ask them to remove it, which they eventually did. There may have been one or two that never did, but at that point it had reached the 7 year point and I just contacted the 3 bureaus and requested it be removed and they were withing weeks.
If you have any collections with cable companies or utility companies, try to contact them direct and pay them instead of going through the collection agency. Each time I was able to go around the collection agency, it was removed off my credit report almost immediately.
Just set small realistic goals. Mine was to pay off one collection every 1-2 months. My credit didn't really start to change until maybe 7 months into it, but then it just went up and up. My FICO has even jumped another 15 points since I started this thread.
It's acheiveable, set small attainable goals. Don't let it consume your life. Just be in peace knowing your knocking them off one by one, which ever way you decide to do so. You will feel so empowered just being honest with your self about the situation and taking control of it.
This last year really flew by and I'm still scratching my head in disbelief that I accomplished this. I really did spread it out and try to make it as easy on my finances as possible.
Good luck! It's a stressful but rewarding journey, but you can absolutely do it too!
