This is from my EQ from Sept 2012. Nothing has changed except the Past Due amount, which reflects my tiny monthly payments.
What would you do if this was your charge off? I would like it settled, but I'm hesitant because I'm unsure if it will restart the reporting clock. As you can see, it's very old and should fall off the reports next May.
I disagree with the amounts they claim I owe, but the creditor has not provided me with a full statement of the charges. I asked last September and was told I would receive one in the mail. I did not. There are some confusing discrepancies in the numbers that I'm concerned about.
When negotiating to settle the CO, do I work with the Amount Past Due or the Balance? Or... the amount charged off? This confuses me the most! I still have to resolve the debt, at some point, it's not going to go away after the reporting stops, correct?
Should I do nothing with the debt (except continue my GW payments) until after it falls off the reports?
I am dealing with the OC, I make $10 payments every month without fail. I live in California. Not sure if that's critical information. 
WHAT WOULD YOU DO? This is my one and only negative account on my credit report, it's driving me mad! THANK YOU!
Account Name XXXX
Account Number XXXX
Date Opened 01/12/2007
Balance $7,198
Date Reported 08/31/2012
Status CHARGE-OFF
Past Due $2,214
Credit Limit$5,000
Account Owner: Individual Account.
High Credit:
Type of Account : Revolving
Credit Limit: $ 5,000
Terms Frequency: Monthly (due every
month)
Date Opened: 01/12/2007
Balance: $ 7,198
Date Reported: 08/31/2012
Amount Past Due: $ 2,214
Date of Last Payment: 08/2012
Actual Payment Amount: $ 10
Scheduled Payment Amount: $ 557
Date of Last Activity: N/A
Date Major Delinquency First Reported: 12/2007
Months Reviewed: 67
Creditor Classification:
Activity Description: N/A
Charge Off Amount: $ 6,094
Type of Loan: Charge Account
Date of First Delinquency: 05/2007
Comments: Charged off account
Adding on 6-21-13
Today I received a letter from the OC, offering a settlement amount of $3518.32. In the letter it says that if settled, they will report the account as "settled" to CRAs. I don't have that money this moment, so I won't be able to take afvantage of the offer, but I'm encouraged that they're ready to play ball. I hope to have a nice chunk to offer early 2014.
My questions now are:
If I settle this before the account falls off my reports, will that status change (from CO to settled) work against me in any way? Will it still age off in May 2014?
If I settle after it ages off, is there any chance of it reappearing on my reports?
Will they be willing to accept less as the May 2014 deadline approaches?
Is there anything I can be doing to help my sitaution right now? Getting anything ready? I'm an action oriented person, so waiting while doing nothing (except paying my GW payments forever) is difficult for me.
I'm sorry for needing so much hand holding on this! Like I said before, it's my one and only credit blemish. *sigh*
I'll give it a shot - Not sure of Ca. Laws, but settling should not restart the reporting clock. As for settling - are you doing this in one lump sum or wanting them to agree to an amount and make payments? Sometimes if they know they are getting a lump sum they will settle on a lower amount vs payments - IME. If I were to settle, I'd start at least at the past due amount and go no higher than the charged-off amount.
You should still work on getting a statement to see where and how your payments are applied, and if it's making a dent in the debt and especially if you don't agree with the amounts. I was on $50 per month plan for a debt under 2K, and didn't realize $30 of that was going to interest.
DOFD is listed as 05/2007 and last payment was listed at 08/2012. Now was a payment made at that date? Some states allow the SOL to restart after a payment has been received, others do not so this is important. Also what is the SOL for your state?
Now this would not reset the CRTP of this account which would have it falling off next year.
July 2013 score: EQ FICO 819, TU08 778, EX "806 lender pull 07/26/2013
Goal Score: All Scores 760+, Newest goal 800+
Take the myFICO Fitness Challenge
Current scores after adding $81K in CLs and 2 new cars since July 2013
EQ:809 TU 777 EX 790 Now it's just garden time!
June 2017 update: All scores over 820, just pure gardening now.
Errr... I'm new here. Are my quotes showing? If not, can I get a little hand holding here? lol. Nevermind.
Bumping for update and questions.
@VanessaM wrote:This is from my EQ from Sept 2012. Nothing has changed except the Past Due amount, which reflects my tiny monthly payments.
What would you do if this was your charge off? I would like it settled, but I'm hesitant because I'm unsure if it will restart the reporting clock. As you can see, it's very old and should fall off the reports next May.
I disagree with the amounts they claim I owe, but the creditor has not provided me with a full statement of the charges. I asked last September and was told I would receive one in the mail. I did not. There are some confusing discrepancies in the numbers that I'm concerned about.
When negotiating to settle the CO, do I work with the Amount Past Due or the Balance? Or... the amount charged off? This confuses me the most! I still have to resolve the debt, at some point, it's not going to go away after the reporting stops, correct?
Should I do nothing with the debt (except continue my GW payments) until after it falls off the reports?
I am dealing with the OC, I make $10 payments every month without fail. I live in California. Not sure if that's critical information.
WHAT WOULD YOU DO? This is my one and only negative account on my credit report, it's driving me mad! THANK YOU!
Account Name XXXX
Account Number XXXX
Date Opened 01/12/2007
Balance $7,198
Date Reported 08/31/2012
Status CHARGE-OFF
Past Due $2,214
Credit Limit$5,000
Account Owner: Individual Account.
High Credit:
Type of Account : Revolving
Credit Limit: $ 5,000
Terms Frequency: Monthly (due every
month)
Date Opened: 01/12/2007
Balance: $ 7,198
Date Reported: 08/31/2012
Amount Past Due: $ 2,214
Date of Last Payment: 08/2012
Actual Payment Amount: $ 10
Scheduled Payment Amount: $ 557
Date of Last Activity: N/A
Date Major Delinquency First Reported: 12/2007
Months Reviewed: 67
Creditor Classification:
Activity Description: N/A
Charge Off Amount: $ 6,094
Type of Loan: Charge Account
Date of First Delinquency: 05/2007
Comments: Charged off account
Adding on 6-21-13
Today I received a letter from the OC, offering a settlement amount of $3518.32. In the letter it says that if settled, they will report the account as "settled" to CRAs. I don't have that money this moment, so I won't be able to take afvantage of the offer, but I'm encouraged that they're ready to play ball. I hope to have a nice chunk to offer early 2014.
My questions now are:
If I settle this before the account falls off my reports, will that status change (from CO to settled) work against me in any way? Will it still age off in May 2014? The status will change from CO to settled. A settled account is scored on par with the CO itself. Not a double ding but, trading one negative for another. Yes, it will still age off when it was supposed to.
If I settle after it ages off, is there any chance of it reappearing on my reports? No, not legally. When you do settle, insure it says settled account in full. Some will try to come after you for the rest though they aren't supposed to. Settled is paid. Period.
Will they be willing to accept less as the May 2014 deadline approaches? That totally depends on the creditor.
Is there anything I can be doing to help my sitaution right now? Getting anything ready? I'm an action oriented person, so waiting while doing nothing (except paying my GW payments forever) is difficult for me. Unless you have the amount to settle there is nothing you can do unless you wanted to make several payments on it and you already said you did not.
I'm sorry for needing so much hand holding on this! Like I said before, it's my one and only credit blemish. *sigh* No hand holding going on lol. You are new to this and everyone needs some sort of guidance.
As for your state SOL, Any payment made before the SOL has expired restarts the SOL. Once the SOL has expired no partial payments can restart the SOL. Since you started making payments before the SOL expired, each payment you made extended the SOL from that date.
Once you settle the debt will be gone and no SOL to restart.