SOL about to expire on 2 cards. What to do next?

[Anonymous]

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crandall10 wrote:

Since both BOA accounts are about to exceed the SOL for your state in the next couple of months, you will want to not do anything or

even bring upthe subject with BOA.  You will want to wait this out from the last date of payment activity so that you can't be sued. 

This will give you leverage.  Remember, the longer those 2 accounts age with no payments the less it affects your credit score. 

But the main reason is that this will give you more leverage if you do want to negotiate with BOA down the road.  I don't believe I saw

what state you live in or how many years the SOL comes into play, but your tradelines for these 2 accounts will be deleted from your

credit report 7.5 years after your last date of payment.  Depending on what state you live in, sometimes simple contact with

creditors is enough to start the SOL again if SOL hasn't come into play yet.  As I have told others, silence is golden and time is the

great healer.  It is like a scab, stop picking at it and it will eventually heal itself.

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If the accounts are updating monthly, it does negatively affect your score.   If there is no activity whatsoever, then no it doesn't affect your score.  One of the main issues is whether or not OP wants a future relationship with the lender.  if he/she doesn't then they can ride out the time until it is excluded.  Some lenders can be forgiving of past deeds ( in my case-Amex, Cap 1, and BoA) and others have long memories (Citi and Chase).  Settling the account doesn't not restart the SOL unless one makes arrangements they cannot , which it is better to only negoitiate if one has the money to do so at the time. 

[rmduhon]

@Sanjez98 There's actually one SOL. The other is the Credit Reporting Exclusion Period. Using SOL for both of these will cause confusion.

[Anonymous]

I stated that the longer the negative tradeline sits out there, regardless of whether it updates monthly or not, the effect is

less damaging as time moves on.  If they are close to going beyond the SOL for their state they are going to have much

more negotiating power than trying to make a deal while SOL is in play.  If they want to keep a relationshiip with these 2

accounts they need to wait until they can't sue and then do whatever they feel they need to do.  I wouldn't mention to

creditor at that time that the debtor knows that creditor can't bring legal proceedings against them any longer.  That will

just antagonize them and it will make creditor look at your offer more seriously.  Settling an account is also a negative

on a tradeline so if you settle and don't get back your creditor relationships that will be a negative tradeline as you

pursue other credit avenues.  I would start building credit back up using techniques on this board and wait for the 2

tradelines to drop off.  Any new credit cards will probably have low credit lines until credit gets back up to at least the

680's and if they have money to do a settlement, perhaps they should use that instead of credit until things improve.