GM Financial (americredit) is reporting monthly interest changes...my question is does that mean this account is "active" even tho it's reporting as a charge off? I planned on buying a house next year when it's suppose to drop off but if it's active due to the interest increases monthly should I go ahead and make a payment agreement with them or will that start the whole thing all over again...my score was up to a 640 but had a couple of old things come back to bite me in the but so im trying to get this worked out by summer next year..any advice would be greatly appreciated.
Well my friend. What it means is, they own the charge-off still and will charge monthy interest until it falls off your report. Its a pain I know cause it will keep sapping your credit score gains by small amounts. Its a way to annoy you to pay them.
Starting Score: 5/2012 TU 595, EQ 565, EX fako 547I understand that...the question is do I let it just fall off or do I try to make payment arraignments to clear it..also if I make the payments I assume DOFD starts all over...its due to fall off in may...but what my concern was is since they are reporting monthly is the DOFD even valid at this point...
yes, the dofd is still valid. one has nothing to do with the other. its a account that is in collections with the company you did business with. That part is good. Now if you are not in a hurry or are buying a house in the next six months, let it fall off. I dont know if it is wise to make payments because at that point your in a agreement again and such you are resetting the date. If you want to pay in full thats another matter of choice but payments I dont know about that.
Thanks for your response, it actually hits it's 7 year mark in march of 2013...my thoughts are to let it ride I figured it wouldnt drop off till maybe summer then I should be good...I'm gonna focus on the other small things I'm still cleaning up like utilation, 2 collections (med) and stuff I'm sure will pop up as I continue to rebuild. I absolutely love this forum...when I get frustrated or concerned I just come here and get the guidance and reassurance that I need 