@Anonymous wrote:So, here's my story, which I'd like to say is unique, but I'm sure there are many like me. I have poor credit, not necessarily due to any massive debt, but to some very small debt and more-over a lack of credit.
Currently, I have two accounts in collections, nearing the 7 year mark (they were both started in 2009). One account is for a GE MONEY BANK debt of $745 that was bought by Midland Funding LLC and has a "current balance" of $1,203.
The second was an HSBC BANK NEVADA N A debt of $746 that was purchased by Portfolio recovery.
I held a car payment in my name from a 2003 auto loan, but that's long since been paid off and no longer gives any credit benefit. I have three cards I've opened over the last year and a half. A Bank of America Visa with a $1300 limit. A Capital One Master Card with a $1500 limit. And a Chase Amazon card with a $500 limit. I spend between 19% and 21% on the three cards each month and pay off in full.
I had a long standing "account" with 5/3 bank from college. The account never got closed, and for some reason, showed me in good standing since 1997 when I opened it (I hadn't used it since 1998). This recently fell off my report as a closed acocunt, and now my "Age of Credit History" is kind of in the toilet since my only credit right now is less than 2 years.
That is hurting my score greatly, but, there's not anything I can do but keep my credit in good standing.
My questions are about the two "derogatory remarks" from Portfolio and Midland. Portfolio was tricky to deal with. I eventually lodged a complaint with the BBB saying that Portfolio bullied and lied to try to get me to pay off the debt. I called asking for a pay for delete, and they said they would be happy to offer a settlement but not for the amount I suggested. This subtle change of the wording (saying settlement) is what I'm using to try to get BBB to get them to delete the account. I am demanding a copy of the phone call where they attempted to lure me into paying for something I wasn't actually going to get (the delettion). That case is still pending, but I don't know how lucky I'll be.
As for Midland, I thought I'd come here first to see what I should do? With 2 years left, and no major purchases that I need to make in that time, am I better to let them lapse, or do I cough up some money and settle? I really jsut want these gone so I can move on with things. I'm making 3 times what I was making when I had these issues, so right now, any money I pay is easily affordable, but comes out of my savings. It's only like $1500 or so in total debt (I'm not counting Midland's trumped up interest, which I'm sure I can negotiate), but that's $1500 I'd rather have in savings.
Any advice or suggestions are greatly appreciated. Also, should I have another card? I'm obviously not using the cards for any actual CREDIT usage. I'm paying off everything in full each month. So, wondering how many cards makes the most sense to keep my credit improving.
Thanks!
@Anonymous wrote:So, here's my story, which I'd like to say is unique, but I'm sure there are many like me. I have poor credit, not necessarily due to any massive debt, but to some very small debt and more-over a lack of credit.
Currently, I have two accounts in collections, nearing the 7 year mark (they were both started in 2009). One account is for a GE MONEY BANK debt of $745 that was bought by Midland Funding LLC and has a "current balance" of $1,203.
The second was an HSBC BANK NEVADA N A debt of $746 that was purchased by Portfolio recovery.
I held a car payment in my name from a 2003 auto loan, but that's long since been paid off and no longer gives any credit benefit. I have three cards I've opened over the last year and a half. A Bank of America Visa with a $1300 limit. A Capital One Master Card with a $1500 limit. And a Chase Amazon card with a $500 limit. I spend between 19% and 21% on the three cards each month and pay off in full.
I had a long standing "account" with 5/3 bank from college. The account never got closed, and for some reason, showed me in good standing since 1997 when I opened it (I hadn't used it since 1998). This recently fell off my report as a closed acocunt, and now my "Age of Credit History" is kind of in the toilet since my only credit right now is less than 2 years.
That is hurting my score greatly, but, there's not anything I can do but keep my credit in good standing.
My questions are about the two "derogatory remarks" from Portfolio and Midland. Portfolio was tricky to deal with. I eventually lodged a complaint with the BBB saying that Portfolio bullied and lied to try to get me to pay off the debt. I called asking for a pay for delete, and they said they would be happy to offer a settlement but not for the amount I suggested. This subtle change of the wording (saying settlement) is what I'm using to try to get BBB to get them to delete the account. I am demanding a copy of the phone call where they attempted to lure me into paying for something I wasn't actually going to get (the delettion). That case is still pending, but I don't know how lucky I'll be.
As for Midland, I thought I'd come here first to see what I should do? With 2 years left, and no major purchases that I need to make in that time, am I better to let them lapse, or do I cough up some money and settle? I really jsut want these gone so I can move on with things. I'm making 3 times what I was making when I had these issues, so right now, any money I pay is easily affordable, but comes out of my savings. It's only like $1500 or so in total debt (I'm not counting Midland's trumped up interest, which I'm sure I can negotiate), but that's $1500 I'd rather have in savings.
Any advice or suggestions are greatly appreciated. Also, should I have another card? I'm obviously not using the cards for any actual CREDIT usage. I'm paying off everything in full each month. So, wondering how many cards makes the most sense to keep my credit improving.
Thanks!First, DO NOT get a secured card. I don't think the previous poster noticed that you have revolvers with BOA, Capital One, and Chase.
Secondly, as you probably have already learned, don't talk with CA's. Do it all by mail. Offer a settlement with a PFD and get it from them in writing. I imagine you are outside your state's SOL, but you may want to check to make sure before you do anything.
Worst comes to worst, wait for them to age off. Remember, the date starts with DOFD, not when they were puchased or sent to the CA.
Good luck!
Starting Score: TU 672 EQ 654 10/20/09You have three prime cards, so you should be good there. You say you charge 20-30% on each card - do you let that report? Your goal should be to have two of the cards report zero and one report no more than 9%. And remember, they report when the statement cuts, not on the due date.
You can also try to get CLI's on the cards.
I understand about wanting a clean CR. But life goes on even without one! Many (most) of us here have obtained credit cards, mortgages, installment loans, and CLI's with collections and charge-off's. Your's are old and, while still hurting you, will not be TOO much of a concern to lenders. These are small amounts as well. There are some on our forums who have had them in the tens of thousands of dollars.
Usually they report when the statement cuts. You can take a look at your statements and see when that is. The proverbial wisdom is that you want ONLY ONE card reporting a balance and for that to be 9% or less of its CL.
You don't need to use all your cards each month. If you rotate them and use each card every few months they will stay active. I have one card that I use most of the time depending on what my goals are at that time (miles, hotel points, etc). I use my other cards like debit cards - charge something every month then go home and pay it off online. It has worked well for me.
But, if you have all three cards reporting a balance each month you are depressing your score.