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Established Member
creditmonkey
Posts: 21
Registered: ‎05-22-2008

Looking to repair my credit score

[ Edited ]

My fiance and I are wanting to buy a house since we now have a little one on the way, we were wanting to do it about April of 2012, to give us some time to get our finances/credit in order. My scores are all in the high 500's, low 600's. 

 

Here are the goods that are on my report

  • *I have a Cap 1 Secured CC with a $300 CL that I was approved for 1/2011
  • I have had a CC with a $500 limit that I was approved for 05/2009
  • I have two separate accounts with a Lease to Own company (think rent-a-center) one for $1,147 and the other $1,686 both PIF no lates etc.

 

Listed below are the baddies listed on my report

 

  • Medical collection that just showed on my report for $881. I know for a fact that this bill has been PIF to the OC without it even being late.  DOFD 9/2010 (at least that's what's showing on my report) -*DV letter sent 02/01/11
  • Collection account for $97.  DOFD 10/2008 - *PFD letter sent, 02/01/11
  • Collection account for $80. DOFD 07/2006. - *PFD letter sent, 02/01/11
  • Medical collection account for $4,082 that I know I owe, but what's the best course of action for this DOFD 6/2006
  • Medical collection account for $1,591 that I know I owe, but again, what's the best course of action? DOFD 6/2006
  • Medical collection account for $219 that I'm not sure what it is. DOFD 1/2006
  • I have a collection account for $239 DOFD 03/2005 -I'm making 3 payments to get this paid off, that's what the FICO score simulator said would be my best course of action
  • I have a student loan that is listing from the OC and CA is there a way to get at least one of those of f my report? It's currently PIF. DOFD 7/2004
  • $3,269 bill for when I was "evicted" from an apartment, this went to court and the complex dropped the suit because they were in the wrong, how do I get this off my report DOFD 06/2004

Starting Score: TU 597 EQ 582
Current Score: TU 597 EQ 582
Goal Score: 700 for all!


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Moderator Emeritus
llecs
Posts: 32,880
Registered: ‎08-04-2007

Re: Looking to repair my credit score

For the CC, if that's your only one, and for max points, let it report a balance of under 9% of the CL. Utilization is a snapshot in time and you don't have to keep it that way every month, but at least a month before applying for anything big, let it report a very small balance.

 

I did business with RAC in the past too, in my not-so-good-credit days. IIRC, they don't report. I was late more than half the time and I'm glad they never reported on mine.

 

For the SL and the CA collecting on behalf of it, both can report. The OC should report $0 and the CA a balance. IMO, I wouldn't do anything to it at this point; looks like they'll delete this summer.

 

For the $239 CA, send a DV to the CA. If they verify and you agree, then send a PFD. A paid CA is equally bad as an unpaid one per your FICO score. In otherwords, paying without a PFD agreement will not improve your FICO scores.

 

For the $881 Medical CA....Ideally and legally you'd need to send a DV letter to the CA within 30 days of their initial collection letter, though there's nothing wrong with sending it now, IMO. A second alternative is to follow the HIPAA process (google HIPAA Process for more info). Since you know you paid it to the OC, I'd start by contacting the OC and ask for records and ask them to recall it from the CA. If they do, then done. Otherwise, follow the process since you paid it. You may want to show documentation each time as proof of payment.

 

For the $80 CA, and any other non-medical CAs, send a DV (always send a DV, even if you know that it is yours). If they verify and you agree, then send a PFD.

 

For the remaining medical, consider following the HIPAA process (involves paying the OC first...the process leaves the CA out of the loop).

 

For the apartment, who is reporting it? It is owed still? If they dropped the suit, it could still mean that they'll pursue it later.

Mega Contributor
RobertEG
Posts: 17,236
Registered: ‎03-19-2007

Re: Looking to repair my credit score

I suggest that you first re-format your data in a way that priortizes your derogs.  Dont look at your CR in terms of accounts,  Look at it in terms of each delinquency and derog in your CR.


Focus first on monthly delinquencies on each OC account.

List each monthly delinquency on each OC account by date and severity (e.g., 30-day late 5/2005; 60-day late 6/2005, etc)

Add 7 years from each individual delinquency, and you have a complete summary of when each monthly  delinquency individually drops from your CR.

 

After doing that, then turn to each charge-off and collection in your CR.

The single date to identify for each CO and CA is the date of first monthly delinquency on the OC account that preceded the CO or CA.  Just go back to the list of OC account delinquencies already compliled, and locate that date.  Add 180 days to that DOFD, and the OC or CA must drop from your CR after 7 years from this date.

 

Items for which you dispute their accuracy of actual reporting should be addressed first by direct disputes with the party who posted the information.  FCRA 623(a)(8)

That dispute process has a mandatory response period of one month, so you want to set those disputes into motion first.  If you need sample deirect dispute letters, just come back on and ask.

 

For the items you dont dispute, what to pay first, and how to address offers to pay, depends upon the severity and age of each derog.  For each unpaid debt, first determine if the statute of limitations has expired.  These have the potential for legal action.  They call for priority consideration.

PFDs can be safely offered if the debt is outside of SOL.  So first know your state SOL.

Established Member
creditmonkey
Posts: 21
Registered: ‎05-22-2008

Re: Looking to repair my credit score

I live in Ohio so the SOL is 6 years

 

I'm a little worried about doing PFD's because then won't it affect the length of my credit history? The earliest thing on there is the SL account which is going to be deleted here soon.

 

Are you saying not to DV the medical collection I know is paid off to the OC? I really just want to know what they're saying I owe money for i.e. what procedure am i being charged for. 

 

If I do the HIPPA process do I need to PIF right away or can I make payments? I don't have quite enough to PIF, but I would like to make payments on them

 

As far as the eviction thing, it's being reported by a CA. And the case was dismissed without prejudice so you're correct they can reopen the case. I've been trying to find what the SOL for filing for eviction is?... Is this a sleeping giant I don't want to wait. It's scheduled to fall off 6/2012

 

Are there any sample letters for DV's, Disputes and PFD's?

 

Thanks for your help

 

 


Starting Score: TU 597 EQ 582
Current Score: TU 597 EQ 582
Goal Score: 700 for all!


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Moderator Emeritus
llecs
Posts: 32,880
Registered: ‎08-04-2007

Re: Looking to repair my credit score


creditmonkey wrote:

I live in Ohio so the SOL is 6 years

 

I'm a little worried about doing PFD's because then won't it affect the length of my credit history? The earliest thing on there is the SL account which is going to be deleted here soon.

 

Are you saying not to DV the medical collection I know is paid off to the OC? I really just want to know what they're saying I owe money for i.e. what procedure am i being charged for. 

 

If I do the HIPPA process do I need to PIF right away or can I make payments? I don't have quite enough to PIF, but I would like to make payments on them

 

As far as the eviction thing, it's being reported by a CA. And the case was dismissed without prejudice so you're correct they can reopen the case. I've been trying to find what the SOL for filing for eviction is?... Is this a sleeping giant I don't want to wait. It's scheduled to fall off 6/2012

 

Are there any sample letters for DV's, Disputes and PFD's?

 

Thanks for your help

 

 


If they accept a PFD and you pay, then if it is an OC account, and if deleted, then your length of history can be impacted. If you are worried about that, then PIF and GW at a later date if you wanted to chance it. This does not apply to CAs.

 

Per medical CAs...either follow the HIPAA process or send a DV (and later PFD). You cannot do both because HIPAA involves medical privacy and DVing a medical CA would void out your rights under HIPAA (since they'd know about it). Personally, I'd do the DV-PFD.

 

I would not make payments on a CA. Save up first. Do the one-payment plan. Plus, they can reject any offer and sue for the full amount if within SOL. Make sure you have the money saved up to PIF if you had to (to avoid any action) before doing anything.

 

There may or may not be a separate line item in your state's codes for evictions. Not sure. You'd have to do some research. I'd guess it would be under written contracts, though. Make sure you have the money saved up before doing anything.

 

Example letters - PFDs, GWs, DVs, etc.

 

Don't dispute. That will result in increased collection activity. No doubt.

Valued Contributor
mauve
Posts: 2,487
Registered: ‎02-18-2010

Re: Looking to repair my credit score

Re: credit length and that SL:  the *derogatory* aspect will fall off at the 7 year mark.  After that, it's a closed account in good standing. 

 

Also, if you only have one credit card reporting, you may want to have 1-2 more.  Maybe wait until you have everything else cleaned up and you have opted out.  Then shop for a couple of cards that are appropriate to your scores at that point.  For ideal scoring, you want no more than half of your credit cards reporting a balance between 0-9%.  If you have 3 cards, you can have one reporting under 9% (for $500, that number is less than $45) and the rest reporting 0.  To keep them all active and reporting, you may want to rotate which one you use every month.  Credit cards generally report around when they issue a statement, and they usually have some grace period during which you aren't paying interest.  It is possible to get that 9% or less balance reporting by charging items that clear before the statement but within the grace period and then paying them off after the statement cuts, thus avoiding interest and getting the reporting results that you want.


Starting Score: EQ 583 TU04 619 EX 592 (lender pull) 2010
Previous High Score: EQ 700 TU04 712 EX 726
Current Score: EQ 740 TU(Discover) 750 EX(AMEX) 747
Goal Score: 740+ all around


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Established Member
creditmonkey
Posts: 21
Registered: ‎05-22-2008

Re: Looking to repair my credit score

updated to show progress in Original Post

 

I was granted a secured Cap1 card with a $300 CL, just waiting to get it in the mail!

Sent out some PFD's and DV's

 

My next question is, can something stay on your credit report if the SOL for your state is longer than 7 years.  I was looking about the apartment eviction account, which would be classified as a written account. In Ohio the SOL for written accounts is 15 years. Would this still drop off my report in 7 years?


Starting Score: TU 597 EQ 582
Current Score: TU 597 EQ 582
Goal Score: 700 for all!


Take the FICO Fitness Challenge

Moderator Emeritus
MarineVietVet
Posts: 14,084
Registered: ‎07-14-2009

Re: Looking to repair my credit score


creditmonkey wrote:

updated to show progress in Original Post

 

I was granted a secured Cap1 card with a $300 CL, just waiting to get it in the mail!

Sent out some PFD's and DV's

 

My next question is, can something stay on your credit report if the SOL for your state is longer than 7 years.  I was looking about the apartment eviction account, which would be classified as a written account. In Ohio the SOL for written accounts is 15 years. Would this still drop off my report in 7 years?


SOL is not the same as CRTP (Credit Reporting Time Period). SOL applies to the amount off time a creditor has to file a lawsuit in an attempt to collect a debt. The CRTP specifies how long a derogatory item can be reported.

 

 

 

From a BK years ago to:
EX - 9/09 pulled by lender 802, EQ - 10/10-813, TU - 10/10-774

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