cancel
Showing results for 
Search instead for 
Did you mean: 

Pay now or wait

Established Member

Pay now or wait

I have several collections on my credit report that i want to take care of as far as paying them off. I have two questions one is does the collection fall off also after seven years when it first got reported delinquent from the original credit card company and if so mostly all of them are going to fall off at the beginning of 2014 should i wait for them to fall off then pay or take care of them now. Thanks any advice would help  

Message 1 of 12
11 REPLIES
Frequent Contributor

Re: Pay now or wait

It wouldnt matter if you paid them or not.  They are scored the same by fico(paid or unpaid collections)  .  Paying them doesnt reset any sort of timeline for reporting to your Credit Reports. You could try a Pay For Delete(PFD) with each of them in hopes of getting them removed sooner and having them gone forever



Starting FICO Score: 10/1/12--EQ 512 | TU 492 | EX 524
Current FICO Score: 2/22/14--EQ 705 | TU 703 | EX 716
Goal Score: 700+


Take the myFICO Fitness Challenge
Message 2 of 12
Established Member

Re: Pay now or wait

Would I have to pay these off if I'm trying to get approved for an fha home loan
Message 3 of 12
Established Contributor

Re: Pay now or wait

Most lenders will require them to be paid prior to closing.  Considering that, if I were you, I would try to PFD as many away as possible.  Start out by offering them half or less for the deletion.  Depending on what CA's, you may get lucky.

Message 4 of 12
Established Contributor

Re: Pay now or wait

Also, they can be reported for up to 7.5 years from the date of first delinquency.

Message 5 of 12
Highlighted
Established Member

Re: Pay now or wait

Will sending PDF letters or even paying them off reset the SOL on these accounts
Message 6 of 12
Frequent Contributor

Re: Pay now or wait

If you pay them off, you don't have to worry about the SOL--because they wont have a balance to sue you for, since you would have paid it. 

Message 7 of 12
Frequent Contributor

Re: Pay now or wait

just include the blurb ....

 

Please be aware that this is not an acknowledgment or acceptance of the debt, as I have not received any verification of the debt. Nor is this a promise to pay and is not a payment agreement unless you provide a response as detailed below."

 

but no it shouldnt



Starting FICO Score: 10/1/12--EQ 512 | TU 492 | EX 524
Current FICO Score: 2/22/14--EQ 705 | TU 703 | EX 716
Goal Score: 700+


Take the myFICO Fitness Challenge
Message 8 of 12
Established Contributor

Re: Pay now or wait

No it wont reset the SOL.  It is a conditional offer to settle the debt if they agree to delete.  As cqdealer said, be sure to include that you are not acknowledging or accepting the debt as yours.

Message 9 of 12
Frequent Contributor

Re: Pay now or wait

And also, "THIS IS NOT A DISPUTE." Smiley Tongue

I would definitely PFD. Almost all my derogs fall off in '14, but I want them gone, baby, gone!
2/16/13 Scores EX: 594, TU:513, EQ:563 -- Cap One Secured: $200, Kay's: $400

GOAL #1: 625 -- CHECK!

3/31/15 Scores TU: 621 -- Cap One Secured: $750, Kay's: $900, CareCredit: $1000, Aerie $350, Fingerhut $1350

Goal #2: A travel card. REC ME!
Message 10 of 12