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JackBeNimble wrote:
My plan:
#1. Ask the CRAs to drop the paid lien off my CR.
#2. Call up USAA and try to find out the effect of the lien on their evaluation and see if providing them updated information directly would help at all.
#3. If the CRAs won't remove the lien information, ask them to update all the blank information, so that "Lien Status:" shows as "released" and date released shows as "05/2007". While I'm at it, ask them to update any other blanks like court address.
#4. Consider asking the IRS to ask the CRAs to drop the lien. I think this has a smaller chance than the proverbial snowball, but it might be worth a shot. I had incredibly mixed results dealing with the IRS in the past. I think I would start this by talking to a tax professional, just to get a professional's opinion. If there's any actual knowledge of this on the internet, it's well-hidden.
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Update on my plan:
#1 - probably going to skip this. Doesn't seem worth it.
#2 - see below
#3 - on hold til I locate my IRS form 668(Z) Certificate of Release of Federal Tax Lien. OMG I can't believe after all these years I'm still organizationally challenged. My advice to all you youngsters - get organized, stay organized.
#4 - still planning this.
USAA
I had a nice conversation with a USAA rep. (I always love talking to them. I always wonder if they just hire only nice people, or if they train them that way?) I had applied for a new CC with them, and also a car loan, and got turned down on both. She says if you apply twice within 30 days they only pull the report once.
She said they care more about the actual score than the analysis of the CR. She consulted an internal reference and I actually qualify for a CC based on my current scores (EQ FICO is 656 as of this month). She said that with a score between 630-644 qualifies for prime + 15.65%, and with a score of 645-659 one would qualify for prime + 13.65%.
So we theorized that when I applied almost a month ago my score was below the cut-off. (I’ve been paying off debt like crazy and I guess that’s paid off.)
I got out my letter of rejection for the car loan, it says rejected because of:
Serious delinquency, and derogatory public record or collection filed
Time since delinquency is too recent or unknown
Number of accounts with delinquency
Collection action or judgment or foreclosure or repossession or garnishment, attachment, or lien
All of this is leading me to believe that my biggest problem isn’t actually the lien, although it’s not helping. I think a few of my other derogatories are worse.
While I was talking to her, I asked her about a USAA secured credit card. She transferred me to someone else, who said she’d mail an application. The secured CC is backed by a two-year CD. You can open it from between $250 to $1500.
So, my plan is to continue to pursue my lien plans, as above, but to also determine my other worst derogatories and work on those.
I’m not actually asking any questions, although opinions and thoughts are more than welcome. I’ve posted this book here in case this information helps anyone else out.
Thanks everyone!
