DH has two accounts charged off as bad debt. The debt has not been sold to JDB or CA. So I'm assuming that the OC's Citibank and Chase still own the debt. Details are as follows:
Citibank - $16,521 Charged off as bad debt DOLA 6/08 date closed 2/08
Chase - $7,631 Charged off as bad debt DOLA 10/07 date closed 10/07
We have the ability to save the money and PIF in approx. June or July 2009. What are the best steps in going about this process. PIF for a possible PFD? We've also considered trying to settle the account for less than amount? I know a PFD would be the absolute best but I'm not sure how a PIF vs. a settled charge off would show up on his CR.... Any suggestions or pointers would be greatly appreciated.
DH Fico Score as of 2/22/09 TU- 529 EQ-519
If you are considering a PFD request, the time to do it is before it goes into collection.
Securing a PFD agreement with an OC is much more meaningful than a PFD agreement with a CA. If the OC agrees to delete, then the entire account is gone, and the credit report is cleared.
However, a CA cannot agree to delete an OC account. They can only delete the separate collection account that they have posted to your CR. The original derogs with the OC will still remain under the OC account postings.