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New Member
TCD74
Posts: 2
Registered: ‎02-26-2013

Back on my feet. Need assistance with old CC balances and 2 collection accounts

Hi there,

 

I'm not even positive how I ran across this site, but I'm glad I did.  Lots of great ideas and positive support from one another.  I'm looking for some advice; I see all sorts of conflicting information on how to eliminate and/or improve bad things on your credit report.  Too much time on the interwebs!!  Here's my story.

 

Bought a home in 2006, was self employed in the real estate industry.  Income went from 80K to almost nothing.  A few p/t jobs & contract work and I 1099'd about 12K in 2008.  Lost the home to foreclosure after attempting a failed short sale....yada yada yada Citi took the home in 2010.  I got sued by Citi for my 2nd mortgage, even though Citi took the home because they held the first mortgage.  I settled with them about a week ago for about 15% of the balance, which is better than 100%.  Anyway, I'm back on my feet now with a good job that pays regularly (as opposed to the ups and downs of Real Estate sales).  Now the battle back to the top begins. 

 

Joined this site to get credit run.  Current 597.  Would like to sniff 700 in a year (if that's possible with a foreclosure).  Even if that's unrealistic, I want to rid my report of as many negatives as realistically possible.  Those negatives you ask?

 

Portfolio Recovery balance of 1700.00.  (Old Orchard Bank/HSBC credit card). 

 

HSBC Bank.  No balance but "bad debt/collection", but its the above referenced credit card that "Portfolio" has purchased (I guess?).  So it appears I'm getting dinged 2x for this one account.

 

Capital One balance of 2300.00 (credit card).  I get mail all the time from "Northland Group" trying to collect this. 

 

Citi 2nd mortgage (or HELOC as they call it, even though it was given to me the day I got my home as "second").  $36,000.  This is what I settled for last week.  I am going to pay the settlement amount in full in March and be done with them.

 

Citi FIRST mortgage is still showing up on my credit report.  Will this ever turn into the foreclosure?  Its status is "120+ past due" even though they've had the house now for 2 full years.  The balance is zero, so maybe this is credit report speak for foreclosure. 

 

2 Collection Accounts:  $443 to AT&T "assigned to" Enhanced Recovery".  $602 for a very old DirecTV account.  I can't figure out who the collection agency is but it says "401YC18884". 

 

I realize I can't really do much on the foreclosure.  The Citi 2nd is going to be paid in full (settlement amount) so hopefully that will help as it will turn from a bad debt of $36K to a paid (albeit settled) amount of $6K. 

 

My questions:

HSBC: who do I deal with - Portfolio or HSBC?  Should I try to settle? 

Cap One:  I consistently get letters from "Northland Group" over this debt.  Is that even legal as they don't show up on my CR, but CapOne does.  Again, who do I deal with and should I try to settle?

Both collection accounts - same thing.  It appears these collection agencies have been "hired" to collect these amounts, per my myFICO report that just ran a couple of days ago.  Track them down and try to negotiate?

 

I do have access to capital to where I could pay off the above accounts.  What I don't want to do is pay them and have them still be negatives on my report.  Lastly, how exactly do I negotate with these professionals without getting swindled.  I assume not phone, but rather via snail mail. 

 

Sorry for the novel, but I wanted to paint a clear picture for anyone so inclined to help a guy out with any advice, tips, things-not-to-do, etc.  Karma comes around.  Help me and I'll do the same for another!  If you have questions, post them and I'll check back frequently.  Thanks myFICO Community!

 

 


Starting Score: 597
Current Score: 597
Goal Score: 730


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New Member
TCD74
Posts: 2
Registered: ‎02-26-2013

Re: Back on my feet. Need assistance with old CC balances and 2 collection accounts

[ Edited ]

I should mention I am in Texas.  Thanks!


Starting Score: 597
Current Score: 597
Goal Score: 730


Take the myFICO Fitness Challenge

Moderator
guiness56
Posts: 22,408
Registered: ‎01-17-2008

Re: Back on my feet. Need assistance with old CC balances and 2 collection accounts

Being is TX is actually a good thing.  They are one of the most consumer friendly states.  SOL is 4 years across the board for every type debt.  You also have the TX Finance Code which allows a consumer to DV a CA at any time and get a response within 30 days.

 

You will need the DoFD of each negative.  Date of first delinquency is when you became behind and never got the account current again before it was COd or sent collections, plus 180 days.

 

Paying off a collection does not help your score.  Paid and unpaid are looked at the same by FICO, as a collection.

 

When you have an original creditor (OC) Charge off (CO) a debt, one of 2 things will happen.  They will sell the debt to a collection agency (CA) or they will assign it.  If it is sold the OC must report a 0 balance and they are not allowed to take any money from you.  You work entirely with the CA.  Both the OC and the CA can report to the CRA.

 

If the debt is assigned to the CA, both of them can report and show a balance.  Since the OC still legally owns the debt, if they will allow it, you can make payments to them and not the CA.

 

Usually 3rd party sites mask some of the creditor information and/or account numbers.  If you haven't already, get your 3 free credit reports from annualcreditreport.com.  You are allowed one from each CRA every 12 months.

 

When you get the report, you can post TL so we can see how they are reporting and offer advice.  Make sure you omit personal information.

 

Also read the stickies in my signature.  It will help you understand all of the abbreviations used here.  The others give very useful information on general credit information.

 

Welcome to the forums.

New Contributor
abarcla1
Posts: 52
Registered: ‎11-05-2012

Re: Back on my feet. Need assistance with old CC balances and 2 collection accounts

I have a Northland Group letter in my hand right now trying to settle an old First Premier account.  They don't show up anywhere on my credit report either.

 

Any info on them?  Wouldn't paying it just "bring it back to life"?

Contributor
Blackhawks_girl30
Posts: 81
Registered: ‎05-18-2012

Re: Back on my feet. Need assistance with old CC balances and 2 collection accounts

I had positive results doing pfd with northland group. I would try that with them first.
New Contributor
abarcla1
Posts: 52
Registered: ‎11-05-2012

Re: Back on my feet. Need assistance with old CC balances and 2 collection accounts

But they can't remove the reporting of the OC, right?  And since they aren't reporting, there's nothing to delete?

 

I'm so confused... LOL

Moderator
guiness56
Posts: 22,408
Registered: ‎01-17-2008

Re: Back on my feet. Need assistance with old CC balances and 2 collection accounts


abarcla1 wrote:

But they can't remove the reporting of the OC, right?  And since they aren't reporting, there's nothing to delete?

 

I'm so confused... LOL


You are 100% correct.

 

You could contact the CA and ask to pay for them not to report.


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