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New to the forums, ready to start my credit repair journey

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Anonymous
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New to the forums, ready to start my credit repair journey

Hi all, 

 

I Just discovered these forums and I have to say I am very impressed with how knowledgable and helpful everyone on these forums seems to be. Right now I have a FICO score of about 630 across all 3 agenecies. Looking to get into the 700's. 

 

Would anyone like to point a newbie in the right direction? 

 

I know how to use the search function, I just want to see if anyone has any advice on how to get started rebuilding. My main problem is 3 accounts of mine went to collections, all of which are now paid off. 

 

Thanks guys

 

Message 1 of 10
9 REPLIES 9
Anonymous
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Re: New to the forums, ready to start my credit repair journey

First step is to pull all three reports from annualcreditreport.com

Message 2 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey

Thanks, 

 

Just finished looking them over. There doesn't seem to be much on there, but my score is really low? I guess these accounts going to collections hurts more than I thought it would . Thanks for the info !

Message 3 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey

Welcome! Keep reading and researching and you will gain vast amounts of knowledge. Good luck!

Message 4 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey

I certainly wouldn't call 630 'really low' - frankly I'd just about kill for a 630 score right now...

 

Give us and idea of what your negatives are and what positives you have going.

Message 5 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey

Thanks for the replies guys!

 

I just discovered this site after talking to my dad about buying a house, I'm so glad everyone on this site seems so helpful. 

 

There are 3 negatives on my account, or 3 baddies. One is a quaters tuition at the college I attended that went to collections, which I paid in full once I was made aware of it. I naively thought that it would be covered under my student loans. Long story short, I took one class for 4 units for one quarter, it turns out that you need to take 6 units for student aid to dispurse..... huge mistake on my part. The amount that went to collections was 1500 dollars. The collection agency was Conserve. 

 

The other baddie was an emergency room visit that of which my insurance at the time did not cover. It went to collections and I paid in full which was 50 dollars. 

 

The last baddie was  another mishap that I should have never let happen. I left sprint in nov 2013 with an agreement to pay off the remaining debt which was about 300 dollars over the course of 6 months which was going to come out automatically on my debit card. So sometime during that time I shopped at target..... during the whole credit card breach. My card was compromised so it was shut off and I did not notify sprint. The debt went to the collection agency Diversified Adjustments. I paid the debt in full as soon as I could. 

 

So my question is do the dollar amounts even matter? I'm getting the vibe that it doesn't really matter that I paid the debts off, a part of me feels like my credit would have stayed the same if I paid them off or not. So my only hope of getting these cleared is to write letters to these agencies and hope they will take them off, that or wait 7 years correct? 

 

Thanks for any replies Smiley Happy

Message 6 of 10
joeyoey
Frequent Contributor

Re: New to the forums, ready to start my credit repair journey

It's my understanding that as far as Fico scores are concerned, an amount under $100 doesn't affect your score.  (at least I think that's correct)  Also, I believe that new regulations are coming where medical bills will be handled differently with the scoring (they won't affect as much).

 

As far as paying off old debts, it doesn't necessarily improve your score, but if a lender ever actually looks at your file, the fact that these bills are payed as opposed to not paid will definitely help.  This is especially true if you're applying for a mortgage.  Most (all) mortgage lenders are going to want to see that anything that has gone to collections has been paid.

 

I would start the process of writing these companies GW letters and requesting that they delete the listings since they've been paid.  Every company is different and some will do this & some are notoriously difficult to deal with.  Be persistent.  They might not do it after the first letter, but sometimes after a few months of sending them monthly they will.

 

Good luck!

 

 



Starting Score (02/01/2014): EQ 548 EX 548 TU 564
Current/Most Recent FICO Score (4/01/2015): EQ 686 EX 668 TU 669
Nov 1, 2015 Goal: 700 Across all 3

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Message 7 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey

Medical bills aren't scored in the latest scoring from FICO BUT, one thing that you have to remember is that most lenders aren't using the new scoring from FICO and are still scoring you.

 

ANY amount or collection is going to affect your score.  Even a $23 collection can have a negative impact on your score because FICO sees it as a negative account and therefore affecting your score.

 

If you already paid the bills then yes, you would want to send GW letters to all your collection agencies.. The proper approach would have been to send Debt Validation letters to each and then send a Pay for Delete letter to the collection agencies.

 

But, send some Goodwill letters.

 

Message 8 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey

Yeah, I feel that I messed up badly. I stil have a hard time believing that just cause you write a letter means they'll delete them. If thats the case then thats awesome! I'm going to start researching these good will letters. Thank you all for all of the replies! Smiley Happy

Message 9 of 10
Anonymous
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Re: New to the forums, ready to start my credit repair journey


@Anonymous wrote:

I stil have a hard time believing that just cause you write a letter means they'll delete them.


 

It's true!  I've been sending goodwill emails and letters every 2 weeks since I started my rebuilding journey. Just this week I was notified that 2 old collection accounts were deleted.  It works!!!  You just have to stay consistent with it, and if they don't respond the first time don't quit.  Keep mailing and emailing.  Some may never budge, but some will!!!

Message 10 of 10
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