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Starting my credit repair journey. Need advice on first course of action!

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Anonymous
Not applicable

Re: Starting my credit repair journey. Need advice on first course of action!


@Anonymous wrote:

@Anonymous wrote:

The Barclays account is the one that is hurting you the most and should be addressed, IMO. Because its showing a balance, they have not sold it off. So its hurting you with the major derog of being a charge off/collection, but that unpaid balance gets held against your UTI% portion of your scores. The collection goes againt the payment history portion of your scores (35% of your score) while the balance hits your UTI% portion of your score (30% of your score).

 

I would suggest addressing all unpaid charged off revolving accounts first, for the best score results. Settle them for as little as you can negotiate, but get them reporting zero balance. You can ask for PFD's but that is extremely hard to get from OC's. If you want to get your scores up, then getting those zeroed out is the fastest way to do it.

 

Do you have any current credit accounts established?


 

NormanFH, Yes not reporting each month which i assume is good.

Based on the knowledge ive acquired reading through the posts on this site, i feel whats hurting me the most are collections that are reporting monthly such as MidlandFund, progressive management systems, Stellar Recovery, Trident ASST, Transword Systems. Since im not on an unlimited budget to pay off debt i feel i should clean up these first . Please correct me if im wrong!


To answer your other question no i don't have any current credit accounts established which i know i should, i just always thought i would be turned down.


Yes, address what you can afford to. ones that are reporting monthly first. If the old charge offs are more than you can chew right now, then to the back burner they must go.

 

Get you some credit accounts going - most of your scoring is based current accounts. Just getting two revolving acounts going is going to push your scores up. If you can't get approved for unsecured go with secured. Avoid the predatory lenders like Credit One and First Premier. Try Capital One, and Credit Unions like SDFCU, NASAFCU, DCU, PenFED, etc, they offer secured accounts that are usually no annual fee and with good interest rates.

Message 11 of 13
Anonymous
Not applicable

Re: Starting my credit repair journey. Need advice on first course of action!


@Anonymous wrote:

@Anonymous wrote:

@Anonymous wrote:

The Barclays account is the one that is hurting you the most and should be addressed, IMO. Because its showing a balance, they have not sold it off. So its hurting you with the major derog of being a charge off/collection, but that unpaid balance gets held against your UTI% portion of your scores. The collection goes againt the payment history portion of your scores (35% of your score) while the balance hits your UTI% portion of your score (30% of your score).

 

I would suggest addressing all unpaid charged off revolving accounts first, for the best score results. Settle them for as little as you can negotiate, but get them reporting zero balance. You can ask for PFD's but that is extremely hard to get from OC's. If you want to get your scores up, then getting those zeroed out is the fastest way to do it.

 

Do you have any current credit accounts established?


 

NormanFH, Yes not reporting each month which i assume is good.

Based on the knowledge ive acquired reading through the posts on this site, i feel whats hurting me the most are collections that are reporting monthly such as MidlandFund, progressive management systems, Stellar Recovery, Trident ASST, Transword Systems. Since im not on an unlimited budget to pay off debt i feel i should clean up these first . Please correct me if im wrong!


To answer your other question no i don't have any current credit accounts established which i know i should, i just always thought i would be turned down.


Yes, address what you can afford to. ones that are reporting monthly first. If the old charge offs are more than you can chew right now, then to the back burner they must go.

 

Get you some credit accounts going - most of your scoring is based current accounts. Just getting two revolving acounts going is going to push your scores up. If you can't get approved for unsecured go with secured. Avoid the predatory lenders like Credit One and First Premier. Try Capital One, and Credit Unions like SDFCU, NASAFCU, DCU, PenFED, etc, they offer secured accounts that are usually no annual fee and with good interest rates.


Should i try with Capital one, bofa or other creditors that i already have a charged off accounts with?

Message 12 of 13
gdale6
Moderator Emeritus

Re: Starting my credit repair journey. Need advice on first course of action!


@Anonymous wrote:

@Anonymous wrote:

@Anonymous wrote:

@Anonymous wrote:

The Barclays account is the one that is hurting you the most and should be addressed, IMO. Because its showing a balance, they have not sold it off. So its hurting you with the major derog of being a charge off/collection, but that unpaid balance gets held against your UTI% portion of your scores. The collection goes againt the payment history portion of your scores (35% of your score) while the balance hits your UTI% portion of your score (30% of your score).

 

I would suggest addressing all unpaid charged off revolving accounts first, for the best score results. Settle them for as little as you can negotiate, but get them reporting zero balance. You can ask for PFD's but that is extremely hard to get from OC's. If you want to get your scores up, then getting those zeroed out is the fastest way to do it.

 

Do you have any current credit accounts established?


 

NormanFH, Yes not reporting each month which i assume is good.

Based on the knowledge ive acquired reading through the posts on this site, i feel whats hurting me the most are collections that are reporting monthly such as MidlandFund, progressive management systems, Stellar Recovery, Trident ASST, Transword Systems. Since im not on an unlimited budget to pay off debt i feel i should clean up these first . Please correct me if im wrong!


To answer your other question no i don't have any current credit accounts established which i know i should, i just always thought i would be turned down.


Yes, address what you can afford to. ones that are reporting monthly first. If the old charge offs are more than you can chew right now, then to the back burner they must go.

 

Get you some credit accounts going - most of your scoring is based current accounts. Just getting two revolving acounts going is going to push your scores up. If you can't get approved for unsecured go with secured. Avoid the predatory lenders like Credit One and First Premier. Try Capital One, and Credit Unions like SDFCU, NASAFCU, DCU, PenFED, etc, they offer secured accounts that are usually no annual fee and with good interest rates.


Should i try with Capital one, bofa or other creditors that i already have a charged off accounts with?


You might give Cap-1 a shot if the CO is over 1 year old, they dont BL you forever. I would forget about BoA for a long while.

Message 13 of 13
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