Effect of Never Paying CAs

[go_FICO_self]

What happens if you never pay CAs? I know that the debt doesn't really go away, but they can't threaten you with a lawsuit or anything like that past SOL.

But does it matter when say applying for mortgage? I heard the TL doesn't drop from the credit report but gets hidden, so someone with access to the full report can see all the previous CA accounts. Is that true? And does it matter for getting mortgage?

Would love an experience from someone with experience!

[Anonymous]

You affect your credit.

Yes, it affects you when getting a mortgage. Sometimes, banks will make you pay the collections before doing a deal depending on who it is.

I always advise sending Debt validation letters and then once they validate then you pay. But, if your going to pay anyone. Always pay the orignal Credit.

If the orignal credit hasn't sold the debt and only assigned it to them for collection you can pay the OC and they will remove the request for the collection agency and get it removed.

But, yes if you don't ever pay collections or take care of your debt it can affect what you do. This whole point is dedicated to helping people rebuild your credit.

[go_FICO_self]

Thanks for the input. Do you have direct experience with mortgage personally? I'm just curious how do people get mortgage with low credit scores and such.

Does existing debt affect any other kind of loan?