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Pay CA before or after it drops off Credit Report?

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okiedokie
New Member

Pay CA before or after it drops off Credit Report?

I have just recently started tackling fixing my credit. My big neg acct is a company called Asset Acceptance. They are collecting on an old citi account that is still in my CR showing as 0 balance and paid satisfactorily. Does that mean AA bought the debt? DOFD looks to be Jun of 06 so it should fall in 5 months or so, It's a year past SOL. I'm sending DV letter tomorrow. A few questions.

1. If it comes back validated, do I try to negotiate a PFD before it falls off?
2. Would it be better to let it fall off and then negotiate a PFD or just a settlement. Would I have more "leverage" after it falls off?

Original balance was 800 from OC, in 2011 the CA sent letter stating a balance of 3200, last month they sent another letter with a 2300 balance. Why lower? Amount reported on my TU were different from that in their letters usually.
Message 1 of 4
3 REPLIES 3
guiness56
Epic Contributor

Re: Pay CA before or after it drops off Credit Report?

You can send them a DV but if it isn't timely they do not have to respond.

 

Are they updating monthly with the CRAs or has it been dormant for awhile? 

 

Yes, it would appear Asset bought the debt.

 

Once it is off your report there is nothing to do a PFD for.  You could just pay them without worry.

Message 2 of 4
okiedokie
New Member

Re: Pay CA before or after it drops off Credit Report?

Yeah I'm pretty sure they update monthly. It says KD every month in timeline for EQ, OK for TU's and blank for the last one. Would they be willing to settle for say 20% after it drops from my report or should I go straight to offer PFD before it hits the 7 1/2 mark or does it even matter at this point.
Message 3 of 4
guiness56
Epic Contributor

Re: Pay CA before or after it drops off Credit Report?

I would just let it be excluded before paying.  It is only 5 - 6 months away.  Maybe earlier depending on the CRA.

 

After that I would offer something that leaves you room for negotiations.  If they want money, they'll accept a settlement.

Message 4 of 4
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