Question, neg TL

[diztrukted]

I have a negative tradeline on the cusp of falling off in May. I've done my best writing to them and trying to work something to repay them (as well as request for a PFD). They've definitely received my letters but they haven't responded/emailed/called or anything and even though the collection is under $300 I wanted a PFD to get rid of it completely.

Should I wait until may or keep trying to get them to, at the very least, talk to me so we can work something out.

[RobertEG]

Wating for the 7 yrs plus 180 days from DOFD to expire will exclude the collection from normal credit reports received by others, but it wont delete the record of the collection in your credit file, nor remove the fact of unpaid, delinquent debt.  It will put a bushel over the collection, making knowledlge of its prior existence unavailable to future creditors by way of a simple pull of your CR.

Expiration of any of the CR exclusion periods under FCRA 605(a) do not result in deletion of the the information from your credit file, or of the debt.

Existence of the prior collection could still be found by way of other means, such as affiliate sharing, ordering a full CR under the provisions of section 605(b) should your credit transaction involve a principal of $150K or more, or by simply asking you if you have any old, unpaid delinquent debt.

If you dont plan to app for new credit between now and May, then you dont need a PFD to get normal CR exclusion.  To get satisfaction of the debt in your file and in your history, you can just PIF.  Then the debt is satisfied, permitting honest answer to any question of whether you have any old, unpaid delinquent debt.  Admittedly not as good as total deletion from your file, but future creditors rarely rely on the exemption provisions of section 605(b) to order a full CR with all normally excluded information, making its existence very difficult to obtain.  Very few creditors are going to ask if you EVER had prior delinquent debt that is now paid.

If you can wait for May, then I would PIF if you want to clear your credit history of any issue of unpaid delinquent debt.

If you are willing to rely on normal CR exclusion as sufficient to shield its existence, then you could opt not to pay.

[Shogun]

+1 RobertEG.  With the CRTP expiring, it will not appear on your CR, however the debt will still persist.  You shouldl try for a PFD to clear this up so that a zombie debt does not appear in the future.

[diztrukted]

Thank you both.

I've tried a PFD with them twice. Here is the letter below. 

Dear Sir/Madame:

This is my second attempt to contact you. I am writing [omitted] in regards to a derogatory trade line account number [omitted] listed on my credit report. I dispute this alleged account in its entirety. However, in order to resolve this matter amicably, I am prepared to pay. I am offering to pay $342.00 (three-hundred and forty-two dollars) on the condition that [omitted], in writing, agree (1) that all listings related to the account mentioned above be removed from all three credit bureaus; Experian, Transunion and Equifax, (2) that any lawsuit filed against me will be dismissed and no future litigation related to the account number listed above will be filed against me and (3)[omitted] will not sell or transfer this debt to any other company.

To be clear, anything written in this letter shall not be construed as a new promise to pay or an admission that the alleged debt is owed, i.e. novation. I am only seeking to have this completely removed from all credit reports from the three major credit bureaus listed earlier and want to avoid the time, expense and trouble of disputing the alleged debt.

This is an equally beneficial compromise since the alleged debt is quite old and has done its damage to my credit report. If [omitted] and I cannot reach an agreement based on these terms and these terms alone, I am more than willing to have this fall off of my credit report.

If you agree to the above terms, please prepare a letter on your company letterhead explicitly agreeing to the same terms as the above settlement offer and have it signed by an authorized representative of [omitted] it will be implied that this letter shall constitute a legally binding contract, enforceable under the laws of [State Name].

Your response must be postmarked no later than 15 days from your receipt of this settlement offer or this offer will be withdrawn and I will request full validation of this alleged debt, as provided for by the Fair Debt Collection Practices Act. Upon receipt of the signed agreement from you, I will send you the money order in the amount I have proposed.

I've written to them twice and haven't heard one response from them. So I'm unsure what I can do to get them to agree or at the very list respond back to me so I could get rid of it. I've sent them two certified letters and they've received both. I'm sure one of them was signed back with a smiley face which made me even more upset.

I'm wondering if I should file a BBB complaint to get them to at least pay attention and respond back to me with something other than a smiley face but is it worth it?

[Shogun]

I don't see a valid complaint to the BBB.  They don't have to respond to your PFD, it's a type of GW and it's at their discretion.   

[Shogun]

On a side note, who is the debt with?

[RobertEG]

It is fairly common for PFD offers to be incorrectly interpreted as disputes, thus resulting in a dispute flag being posted to your CR.

Then your FICO score is affected until it is resolved, and you get into a whole argument as to whether your letter was actually a dispute.

As such, I would advise not to use the terminology "dispute" in your letter.

PFD offers are a type of request for their good will.  The extent to which such an offer is contentious may affect their feeling of good will.

If you dispute accuracy or have not received what you consider adequate verification, I would reserve those issues to DV or disputes, and try to keep them out of a good will offer. 

Stating that you dont acknowledge the debt is important, but I suggest caution in the degree to which you argue the matter.

[diztrukted]

its with Valentine & Kebartas ,

@Robert

I'll remove the word "dispute" from the letter to avoid any further credit score decreases

So I should I just PIF and call it a day or should I continue for the PFD.....OR should I wait until May and then PIF.

[Shogun]

I would send it again.  Shorten and simplify it, then send it.  Also, if they were to ignore it and I waited until May and it fell off, I'd still pay it.  But I'd make them settle, I wouldn't pay the full price.

[diztrukted]

Thanks.

I have every intention to pay it. I prefer paying it and knowing that its something that won't creep up later. I never felt like letting something just "fall off" would be the responsible thing to do, I just want to resolve it with minimal (if any) damage done to my credit.

Ideally paying it and getting rid of it like it never existed is what I want to do but without the slightest hint of a response or acknowledgement and its been difficult.