@Anonymous wrote:
Hello all,
So hopefully this all makes sense... I have a debt owed to the federal government. I re-enlisted in the Army Reserves and collected a signing bonus back in 2009. Due to some hardships beyond my control I received a hardhip discharge mid-2010 and as such I knew I may be subject to paying back the re-enlistment bonus. It took a couple of years to work through the hardship and I ended up filing chapter 7 and receiving the discharge 11/2012. Since I came out of the bankruptcy I have been making a monthly payment to DFAS (Defense Finance and Accounting). In looking over my credit report this payback is being reported as a collections account. I'm wondering if requesting a change from a collections account with no activity being reported would be better or worse than a paying as agreed status (I'm pretty sure that would come with some 120+ delinquincies though all though I can request not to have those)? This is only being reported to Transunion.
Thank you.
It's hard to know which would hurt your FICO score more, a collection or several 120 day lates. I'd speculate they are fairly similar in terms of FICO scoring damage.
If you can get them to agree to remove the lates and re~add without derogatory information, then it would be positive.
March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
