cancel
Showing results for 
Search instead for 
Did you mean: 

DV letter vs PFD letter vs GW letter

tag
Anonymous
Not applicable

DV letter vs PFD letter vs GW letter

Hi,

 

     I'm still SUPER new to the fourms and credit clean-up. Unfortunately, i was an idiot years ago and didn't care about my credit. I would like to buy a house by the time I am 33 (which would be Oct of 2011). My current scores are EQ-539 and TU-595. I have some old accounts that i am hoping will fall off in the next 18 months. I have some old collections that are paid and marked closed and I have some current collections. The only open account I have that is still open that is showing late payment is a student loan that the payments started on 2 years ago after I graduated, and I got them deferred again now that I am back in school. After reading alot of the posts here, I'm still a little hazy on when to write a DV, PDF or GW letter. I have the money to pay off my current collections, if that makes a difference. I was hoping someone could give me a summary of when to write each type, and if they have any good examples of each. I am really full-go now to improve my credit. I think I can do it. I finally make decent money so i can pay off old stuff if need be. I'm hoping the old stuff falling off will help me alot. From 11/08 to 1/10, my TU score went from 503 to 595, so I'm thinking if I stay on the straight and narrow I can maybe approach 700s across the boards by 10/11. Sorry this was so long-winded!! This community is the best out there in terms of support and ideas and just general nice people. Thank you in advance.

 

Ryan

Message 1 of 4
3 REPLIES 3
RobertEG
Legendary Contributor

Re: DV letter vs PFD letter vs GW letter

Hi, Darkman.

You DV primarily to request a collection agency to verify the debt, and to stop their active collection actiity until such time as they may choose to verify.

They have no obligation to ever respond, only to cease active collection actiity until they choose to verify,  DV letters are between you and the CA under the FDCPA, and have almost nothing to do with credit reporting under the FCRA.

When to PFD?  That is up to you.

A PFD may be the best for you, if accepted by the creditor, for that will delete it from your CR.  Simply paying the debt wont remove it from credit scoring, but is a firm offer to pay.

The problem with a PFD offer is that it is only a conditional offer to pay. The creditor may not accept it, and step it up to the next stage of adverse credit reporting.  If the debt is on a CC, for example,  they may either charge it off, post it with a third party collection agency, or bring legal action in court for a judgment, each leading to a new derog being posted to your CR.  So a PFD is a high benefit gamble with the peril of higher risk still looming.   If it is a CA, they may bring legal action.  No one can tell you for sure whether to make a PFD offer.  That is purely a personal decision.

 

GW letters are an excuse after the fact.  You dont GW for removal of a bad debt that remains unpaid,.

 

Message 2 of 4
LIGHTNIN
Senior Contributor

Re: DV letter vs PFD letter vs GW letter

Hi theclarkman welcome to the forums,

 

You asked for examples of letters, check out the link Frequently Requested Threads.

 

You may also be interested in What Steps Do I Take?DV?PFD? (use link below)

 

Since you are Super new read the stickys at  top. Also the search box is very useful, but case sensitive so try caps and lower case. 

 

FICO's May 2015 EQ764 ~~Live below your means and always keep an emergency fund -Love Everybody ~ Big Kenny ~ Big and Rich ~~~~~Credit Scoring 101 - Common Abbreviations - Freq Req Threads - Free Credit Reports - What Steps Do I Take?DV? PFD?
Message 3 of 4
Anonymous
Not applicable

Re: DV letter vs PFD letter vs GW letter

Just for a quick example. I have a debt for an old utility bill. It was turned over to a collection agency, which is what is showing on my credit report. However i moved and got new utility service and they tacked that old bill onto my new bill, this rendering the old unpaid bill obsolete. Can i then somehow get that collection agency collection removed since technically it doesn't exist anymore? And I also paid some collection agency bills recently right away as i got them (wish i had seen this board before i did that, oh well). Has anyone heard of having any success writing a GW letter to the colleciton agency to have them remove the paid collection since i paid in full, on time? Sorry I'm so credit report ignorant!!!! Thanks in advance...

 

Ryan

Message 4 of 4
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.