Cap1 Charge Off Question

Anonymous · ‎05-07-2016

Ive read many forums post about how Cap1 isnt very forgiving with charge off, PFD, GW or anything. Here is my situation.

I've had 3 capital one accounds that fell seriously behind and were eventually charged off.

Two were opened in 2008, first derog was 2012 and closed in 2013. The other was was opened in 2013 first derog 2013 and closed in 2014.

Every one of these accounts has at least a few 120+ lates on them and many many 90 day + lates. The two accounts that are over 4 years old do you think cap1 will do a PFD on them? Its a weird situation, on the credit report TU shows Charged Off Paid, EQ shows closed by creditor, and EX shows transfered to different lender. I have not been put in collections for any of these balances.

If they will not accept a PFD will it be benefitial to PIF the ones from over 4 years ago? If they do not PFD the recent one from 2013, since its over 2 years old would it help to PIF that account?

Thank you

RobertEG · ‎05-07-2016

If sold, any opportunity to offer a PFD would be gone, as they can no longer accept payment.

If sold, you may wish to determine who purchased the debt and make a pay for not reporting offer to prevent reporting of a collection.

If unpaid and still owned by the creditor, what is the statute of limitations for your state?

Anonymous · ‎05-07-2016

statute of limitations for my current address is 6 years.

RobertEG · ‎05-08-2016

If still within SOL and they still own the debt, then making a PFD or any payment-related negotiation may result in a review on their part with a decision to litigate without any concessions, seeking the full debt.

Thus, if you do pursue a PFD, be prepared, if they decide to play hardball and litigate, to pay the full debt before they obtain a judgment.

Anonymous · ‎05-08-2016

So I should seek to PIF the most recent debt from a couple years ago than maybe bring up the others once I am able to PIF just in case?

@RobertEG wrote:
If still within SOL and they still own the debt, then making a PFD or any payment-related negotiation may result in a review on their part with a decision to litigate without any concessions, seeking the full debt.
Thus, if you do pursue a PFD, be prepared, if they decide to play hardball and litigate, to pay the full debt before they obtain a judgment.

Anonymous · ‎05-08-2016

I just paid in full for a cap 1 charge off. I can tell you they will offer a paid in full or a settlement. They told me straight up it is not a settlement in full. So if your balance is $500 and they offer you 300 to settle. Your balance will still stay 200 on your credit report. They just put settled. They then will send you out a 1099 C for the remaing balance. I have one more to pay or settle with them but have not made a decision what I will do.

RobertEG · ‎05-08-2016

Chris, they provided you improper information.

If they agree to settle the debt for less, then they are REQUIRED to unpdate the debt balance to $0.

They cant report the difference as a remaining balance.

They cancel the difference, which is the reason for a 1099c tax obligation, but they also seem to have also misrepresented that fact.

If the cancelled amount is less than $600, it is not reportable to the IRS.

It appears they played free and fancy with their view of settlement by giving misinformation in an attempt to get you tp pay in full.

Anonymous · ‎05-08-2016

Your probaby right RobertEG!

I told them straight up the other cap 1 will have to be settled. I don't have $2,200.00 just sitting around. They offered 1200.00 to settle on that account. I called back and spoke to another rep and they told me the same thing. I went ahead and paid the one in full. Since I am preparing to buy a house this summer. I technically can't have a settled for less account.

I have not had really good luck with cleaning up my credit yet.

Hopefully it gets better!

Anonymous · ‎05-09-2016

My charge off is only in the $500 range so I will just pay it in full. Ive read having PIF is better than having settled on a report. Looking to buying a house in a year or two so trying to pretty up my report as much as possible. By the end im hoping for Frankenstein in a wig pretty ahah