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Should I try for a PFD?

New Member

Should I try for a PFD?

I've been so grateful over the last 2 years of trying to rebuild my credit for the information found on these forms. This is my first time posting! 

 

I have one baddie left of my credit report and I'm considering trying for a PFD.  Because it is the only negative thing on my report I'm sure it's dragging my score down a lot. It is a charged off secured credit card from 1st Progress. It says it is a Charge-off, past due amount of $142, first went negative in July 2013. I called around 2 years ago to request a PFD and they said no. I have never been contacted from a CA about this debt so I'm not sure if the original creditor 1st Progress still owns it or not. 

 

Should I try calling again to request a PFD or send a letter first? Would that letter be sent to the address listed on my credit report? If I get denied for the PFD should I just go ahead and pay in full and if I do do you think it would it help my score significantly?

 

P.S. My Experian FICO 663, I have 2 credit cards with low credit limits and never missed a payment, one is 2 years old, one is 3 years old. I have one installment car loan that I just paid off early after 2 years.



Starting FICO: 590ish
Current FICOs: EX 671 TU 670 EQ 682 (1/11/1)
Goal: 700's Club

Gardening since December 2015
Message 1 of 5
4 REPLIES
Valued Contributor

Re: Should I try for a PFD?


qmbear wrote:

I've been so grateful over the last 2 years of trying to rebuild my credit for the information found on these forms. This is my first time posting! 

 

I have one baddie left of my credit report and I'm considering trying for a PFD.  Because it is the only negative thing on my report I'm sure it's dragging my score down a lot. It is a charged off secured credit card from 1st Progress. It says it is a Charge-off, past due amount of $142, first went negative in July 2013. I called around 2 years ago to request a PFD and they said no. I have never been contacted from a CA about this debt so I'm not sure if the original creditor 1st Progress still owns it or not. 

 

Should I try calling again to request a PFD or send a letter first? Would that letter be sent to the address listed on my credit report? If I get denied for the PFD should I just go ahead and pay in full and if I do do you think it would it help my score significantly?

 

P.S. My Experian FICO 663, I have 2 credit cards with low credit limits and never missed a payment, one is 2 years old, one is 3 years old. I have one installment car loan that I just paid off early after 2 years.


You can get a FICO boost by doing the following:

 

  1. Add a third credit card that is from a prime bank -- secured or unsecured.
  2. Get your credit card balances down to "AZEO" when you have 3 cards (see my 11 rules signature link for details)
  3. Add a secured installment loan (paying it down to 8% remaining balance will boost your scores 20-35 points!) preferably from a bank that lets you pay off a huge amount up front and then not make a payment for 3-5 years while reporting the small 8% remaining balance (see the Alliant SSL thread for details on research forum members are doing to find the perfect secured loan!)

As for the charge-off, keep trying to get them to delete it for payment.  If that's your only bad account, it'll hurt for 70-90 points.  But if you do the 3 credit cards + AZEO Method + 1 low balance secured loan, you can get into the near-700s by the end of this year!

 

If worse comes to worst and you just pay off that balance, it will likely help your score as the chargeoff balance counts towards credit card utilization AND reports overlimit.  So you may see a point boost of maybe 10 points but maybe even as high as 40 points (doubt it would be that high, but it's possible).

Message 2 of 5
Senior Contributor

Re: Should I try for a PFD?

Another thing to look forward to. Once you pay the CO, it will forever stop updating.

NFCU Platinum $7300- AMEX BCP $9000- PenFed Power $11000- Chase FU $11700- DCU Platinum $15000- Care Credit $15000- AMEX EDP $15000- NFCU CLOC $15000- Chase CSP $18900- Discover IT Miles $20500- Penfed Promise $25000- NFCU Go Rewards $27100- Venture $28750 **As of 1/12/18** EX- 751(15) TU- 761(14) EQ- 732(15) UTI 9%- Clean Files
Message 3 of 5
New Member

Re: Should I try for a PFD?

Thanks so much for the advice. I had never heard of the AZEO method and will try it. I'm trying to maximize my score in the next month or so before I try to get my 3rd card (hopefully unsecured). What is a "Prime bank"? Would Discover, AMEX, or Credit union be considered prime?



Starting FICO: 590ish
Current FICOs: EX 671 TU 670 EQ 682 (1/11/1)
Goal: 700's Club

Gardening since December 2015
Message 4 of 5
Valued Member

Re: Should I try for a PFD?


qmbear wrote:

Thanks so much for the advice. I had never heard of the AZEO method and will try it. I'm trying to maximize my score in the next month or so before I try to get my 3rd card (hopefully unsecured). What is a "Prime bank"? Would Discover, AMEX, or Credit union be considered prime?


Yes.  All thee could be considered Prime!

 

Good luck.

 

Keep us posted on your success!

~~~Rebuilding Score History~~~
Starting Ficos: EX 541, EQ 493, TU 523 (07/02/2016)
Latest Ficos: EX 630, EQ 656, TU 644 (01/11/2018)
1st Goal Ficos: EX 700, EQ 700, TU 700 (12/31/2018)
~~~Credit lines~~~~
BankAmericard Platinum Plus Mastercard Secured: $2000, Latest CLI-N/A
Capital One Platinum Unsecured: $500, Latest CLI-12/2017
~~~Latest Rebuilding Projects~~~
12/30/2017: 3 CRA Inaccuracy Disputes for CAs by certified mail
12/30/2017: 2 OC GW Recall Letters by regular mail
01/05/2018: 1 OC GW Phone Call
01/11/2018: 2 CA removed from all 3 bureaus, except 1 left on EQ
01/12/2018: Online TU request for EE of 6.5 year old charge-off
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