Rebuilding Your Credit

[LadEGodiva]

Cash Call Inc. is a lender that makes unsecured cash loans to borrowers. Currently appearing on my CR as follows:

Status: Account charged off. $5,855 written off. $498 past due as of Jan 2010.
Date Opened: 11/2005 Date of Status: 01/2010 Reported Since: 12/2005 Last Reported Date: 01/2010	Type: Unsecured Terms: 120 Months  Monthly Payment: $0 Responsibility: Individual	Credit Limit: $5,075 High Balance: N/A  Recent Balance: $5,855 Recent Payment: $0

Where do I start to get this off my CR, I'm in California?

[Shogun]

I take it this account is still unpaid?  When did you stop paying it.  What is the DOFD of the account?

[RobertEG]

Paid or unpaid, they reported that they took an internal accounting measure on a delinquent debt, moving it from an asset to an uncollectilbe debt on their books.

The reporting of a charge-off is not deleted based on subsequent actions on the account, such as payment.

Removal of a charge-off can be pursued if the debt was not delinquent at the time they took that accounting measure.  Otherwise, it would be accurate, and thus there are no means under the FCRA for asserting deletion. 

Request to the creditor for their good-will deletion would be the remaining course.  If the debt remains unpaid, that is unlikely to occur.

[LadEGodiva]

According to Experian the account is scheduled to continue on record until June 2016. My purpose of cleaning up my credit is so that I can purchase a home in late 2013. What should my first step be in getting this rectified?

[Shogun]

If you're going for a mortgage, this will more than likely have to be paid.  Have you thought about trying a PFD?

[LadEGodiva]

Haven't considered PFD, I'd be more open to settling. Any thoughts on settling vs. PFD?

[Jutz]

Settling at least closes an open debt that would be a big hurdle in trying to get a mortgage.  PFD increases your score, removes the black mark entirely, and depending on your credit profile as a whole, may make or break your mortgage.  At the very least it may put you up another tier for a better interest rate, again depending on the rest of your profile.