Need Advice!

[Anonymous]

A few years ago I defaulted on a slew of credit cards. I am at the point where I can pay them back.

Creditors include Capital One, Chase, etc. and all have been charged off.

My confusion is how to approach this as I was thinking of getting an attorney to handle this, but have been told on multiple boards that is a waste unless you are being sued.

I see terms like GW and PFD and unsure what is the best route to get my credit cleaned up.

Capital One, as an example, has charged off the multiple cards to varying collections agencies including a law firm, is it advisable to send a PFD to both CA and law firms? How can I keep them honest in the process, ie. I am lucky enough to have them accept my offer and get it back in writing? How can I enforce the PFD? Additionally, while they might come off, the original creditor will stay on the report. Is that correct?

Also, hunting these guys down is looking like a full time job. Some show up on CreditKarma, but do not show up on 2 of the 3 credit reports (I had no luck securing a report from Experian, was told to mail in request).

Simply interested in making them offer to pay for deletion (is 20% too low?) and be done with this.

Thanks in advance for the assistance.

[Whitneyy]

Hello and welcome!

Have you pulled your reports from annualcreditreport.com? You'll find more information about creditors there. 

As far as paying for deletes and goodwills, you can offer a PFD and if they don't accept it, that's when you pay it and goodwill them until they give you the response you're looking for. You should only offer 20% for the debts if they are out of the SOL otherwise they could always accept your offer and sue you for the remaining balances. 

Firstly, you can DV everyone to see who still has what debt, find out what each one is and etc and then go with the above process.

Good luck!

[Anonymous]

Hmm, should only make an offer if they are out of the limitations? None are, so therefore this can be a bad idea? Or in the letter I found on here not bullet proof (meaning this is a settlement for $x dollars).

Let me know.

[Shogun]

You can bargain a deal if it is still within the SOL, there's no problem there if they agree to it.   Just get the agreement on that in writing.  If they came after  you for the remainder, it would be a breach of contract.  It would be the same as paying an amount for a car, then a couple years later they want more for it.  Can't be done.  Just be prepared and have the means to settle if they deny any deal and decide to take it to court so you can avoid a judgement.

[Anonymous]

Not sure why myfico would not let me log back in, but I am the same person...

Man, this is a full time job...

So my plan to send settlement PFD letters is as I originally thought, something to do. 

Is it advisable to simply propose 20% or is this something that accounts held by CA's would laugh off or should it be higher?

As an example, Capital One sent it off to a law firm, the amount is under $4k, I had request a DV from them back in February and never received a thing. Can I assume that this was then pawned off to another place? Do I call them to find out? 

Looking at what to do and not to do.

Thanks.

[Anonymous]

Hi there,

I'm a newbie myself, but if you can pay your debts in full, then do that. If not, reach out to the CA's and tell them you're not capable and ask/negotiate for a discount. Just know that if you pay at a discount, they will probably report that as "paid in settlement" or "paid for less than the full amount." I doubt CA's will delete something that is paid for less. 

I'm a little iffy about DV letters, especially if you legitimately know that the debt is valid. I was told as well, in the beginning, to send a DV letter to the CA's, but I never did, 'cause I know the debts are valid and legit. And I'm not sure as to what exactly the benefits are for sending a DV letter on a valid debt. 

As I've mentioned, I'm a noob myself. And I'm speaking in terms of medical debts, which is far more forgiving than CC debts.

[Anonymous]

My issue is trying to find who is holding in now. 

It seems to move around like musical chairs.

Here is the thing, in February I asked for a DV from a law firm in CA that was handling my account for Capital One. Never received anything. Last week starting getting a calls at 6 am in the morning from a collection agency in NY. Finally got the person on the phone today who was calling about the same account and that they got it from Capital One. Now he needs to look into what they have to do, ie. send it back to Capital One. Which makes we want to ask whether I should simply contact Capital One and deal with them direct if that is even possible.

As for paying in full, well, that is not feasible as with all the late fees, penalities, it has raised up what was owed to more than 25%+, while I want to correct this, not going to do this whereby the CA paid pennies on the dollar to the OC. 

I have yet to send a single letter regarding PFD as I am going through the maze of who the heck is holding my accounts.

[Anonymous]

I am no expert but I am on a similar journey.  I know the feeling of just wanting to make it all right. But paying the collection agency in full doesnt change much. I'd start out by sending the CA Debt Verification Letters. If they can verify I would follow up with a PFD be sure to get it in writing, and if that doesnt work pay in full and then follow up with a GW. Its a lot of work, but will be well worth it in the end. Good Luck.