PFD

[Anonymous]

I'm fixing to start sending out some PFD letters on some bad collection accounts. Is it better to hit the more recent ones first OR the older ones that are about a year or so from falling off?

[Anonymous]

Good Question, here is what I've found in my experience so far since I am in the middle of this as well. 

Newer accounts have a bigger impact on your score than older accounts, but you have more leverage to get a PFD with older accounts as they get closer and closer to their SOL. The less likely they know you are to pay them any money, typically the more willing they are to agree to a PFD. Oftentimes, they will not take PFD and they might on the 8th 10th or more attempt because you are that much closer to SOL. Some will not accept PFD no matter what. Certainly any newer account will want to be Paid in Full before agreeing for a PFD, collections about to expire you can sometimes get them to take much less.

My method so far has been to contact everybody I have a collection account with, regardless of age, and let them know I am attempting to resolve accounts. I let them know I am prioritizing any agency who is willing to work with me on a PFD, and if they are unwilling to agree to that action, they will have to wait. All my collections are relatively small, older medical bills, so your situation may be different. 

[Anonymous]

@Anonymous wrote:

Good Question, here is what I've found in my experience so far since I am in the middle of this as well. 

Newer accounts have a bigger impact on your score than older accounts, but you have more leverage to get a PFD with older accounts as they get closer and closer to their SOL. The less likely they know you are to pay them any money, typically the more willing they are to agree to a PFD. Oftentimes, they will not take PFD and they might on the 8th 10th or more attempt because you are that much closer to SOL. Some will not accept PFD no matter what. Certainly any newer account will want to be Paid in Full before agreeing for a PFD, collections about to expire you can sometimes get them to take much less.

My method so far has been to contact everybody I have a collection account with, regardless of age, and let them know I am attempting to resolve accounts. I let them know I am prioritizing any agency who is willing to work with me on a PFD, and if they are unwilling to agree to that action, they will have to wait. All my collections are relatively small, older medical bills, so your situation may be different. 

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 My situation sounds very similar to yours, may I ask what CA's you are dealing with and what kind of luck have you had with PFD's? I've tried twice for a PFD and the CA has never responded, this will be my 3rd attempt so we'll see how it goes. Also, what PFD letter are you using? Thanks for your input!

[gdale6]

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@Anonymous wrote:

I'm fixing to start sending out some PFD letters on some bad collection accounts. Is it better to hit the more recent ones first OR the older ones that are about a year or so from falling off?

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Anything thats updating on a monthly basis should be first regardless of age, in Ficos eyes its as if the problem occured today and it keeps your score from beginning a recovery. After these are done newer accounts to oldest accounts.

For unpaid medical debt that is reporting on your CR:

1. Call the OC and ask that they recall the collection in exchange for full payment
2. Send the reporting CA a PFD offer
3. Google the HIPAA Process and contact its creator for help

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/PFD-Q-amp-A-Examples-and-PFD-Success-Stories/td-p/2031275

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/PFD-Example-Letter/td-p/4519

[Anonymous]

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@Anonymous wrote:

Good Question, here is what I've found in my experience so far since I am in the middle of this as well. 

Newer accounts have a bigger impact on your score than older accounts, but you have more leverage to get a PFD with older accounts as they get closer and closer to their SOL. The less likely they know you are to pay them any money, typically the more willing they are to agree to a PFD. Oftentimes, they will not take PFD and they might on the 8th 10th or more attempt because you are that much closer to SOL. Some will not accept PFD no matter what. Certainly any newer account will want to be Paid in Full before agreeing for a PFD, collections about to expire you can sometimes get them to take much less.

My method so far has been to contact everybody I have a collection account with, regardless of age, and let them know I am attempting to resolve accounts. I let them know I am prioritizing any agency who is willing to work with me on a PFD, and if they are unwilling to agree to that action, they will have to wait. All my collections are relatively small, older medical bills, so your situation may be different. 

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That is a great strategy, simple but efficent = awesome!

[Anonymous]

What if paying it in full is not an option?

Do we still send a PFD to CA even if we ask OC to recall debt?

And, who is the creator we're asking the help from?

Thank you still kinda new at this!

[Anonymous]

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@gdale6 wrote:

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@Anonymous wrote:

I'm fixing to start sending out some PFD letters on some bad collection accounts. Is it better to hit the more recent ones first OR the older ones that are about a year or so from falling off?

---

Anything thats updating on a monthly basis should be first regardless of age, in Ficos eyes its as if the problem occured today and it keeps your score from beginning a recovery. After these are done newer accounts to oldest accounts.

For unpaid medical debt that is reporting on your CR:

1. Call the OC and ask that they recall the collection in exchange for full payment- What if paying in full is not an option?
2. Send the reporting CA a PFD offer- Do we still send a PFD offer to CA even if we're asking OC to recall the debt?
3. Google the HIPAA Process and contact its creator for help- Who would the creator be that we're asking help from?

Thank you! Still kinda new at this

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/PFD-Q-amp-A-Examples-and-PFD-Success-Stories/td-p/2031275

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/PFD-Example-Letter/td-p/4519

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