Declined for BofA secured card??

[damnedanddetermined]

RobertEG, I think you mis-read my post. I have NEVER had an acct with BoA, NO CO, No blackball, nothing and still NO secured card (

[gdale6]

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@damnedanddetermined wrote:

RobertEG, I think you mis-read my post. I have NEVER had an acct with BoA, NO CO, No blackball, nothing and still NO secured card (

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He is answering the OP.

[Anonymous]

Good point RobertEG! I too believe that older CO's hurt more cause it shows that you are unwilling to pay the debt. I have always felt that a paid charge off is better than an unpaid one. You may loose points upfront when it updates but in the long run, it shows as paid and looks better on your report. 

[Anonymous]

I do understand that a debt is a obligation. I have made some dumb decsions with credit in my college years and have now paid all but a couple which I am working towards.

On a charge off obviously they have sold these to a collection agency. And in this case the CA got judgements. Obviously I am working on paying the judgement, but the CO is obviously still there. Do I pay the judgement and try to pay BofA for the charge off as well doubling what I pay??The total debt is over 4000.

[Anonymous]

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@Anonymous wrote:
I do understand that a debt is a obligation. I have made some dumb decsions with credit in my college years and have now paid all but a couple which I am working towards.

On a charge off obviously they have sold these to a collection agency. And in this case the CA got judgements. Obviously I am working on paying the judgement, but the CO is obviously still there. Do I pay the judgement and try to pay BofA for the charge off as well doubling what I pay??The total debt is over 4000.

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Such is not always "obvious". Often they will "assign" a CA to collect, rather than selling the debt outright. If they are still showing an outstanding balance on the CO, then they still own it, regardless of CA's involved. OTOH, if they have zeroed out the balance, then it has been sold offto a JDB.

[TRC_WA]

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@RobertEG wrote:

A charge-off is an accounting determination that you, as the consumer, are not going to pay the debt.

It is a statemtn that they are taking a loss in dealing with you.

That alone is a serious determination, and while the CO remains in your credit report, is a serious deterrent for any creditor to lend to you.

Credtiors dont like to extend credit to consumers with a proven history of not repaying.

The longer the CO remains unpaid, the more their determination that you are not going to pay the debt is reinforced.

In my opinion, the older an unpaid CO, the more damaging.

Once the unpaid CO becomes excluded from your credit report, it normally removes the ability of creditors other than the one who took the CO from the knowledge that in the past, you sitiffed a debt.  However, the creditor who took the CO will usually keep their own business records, and continue to be aware that you are a high risk for not paying obligated debt.  It is an extremely relevant factor.

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Yep... people have to stop and think about it for a minute.  Would you loan money to someone with unpaid bad debts?  I most definitely wouldn't.

Once excluded from the CR some lenders like CapOne are forgiving... others like AmEx and pretty much every CU, aren't.