When the original uses a CA...but CA does not appear on your report...what action do you take?

[schlicsty]

Hello!  I may not be all hip on the lingo here so please bear with me...

I have a car loan that is with TD Auto Finance.  There has been no activity on it since 2010 and they have it listed on my credit as a charge off.  The remaining balance is approx. $514.

TD Auto Finance apparently has a collection agency after me for the $514 - they are willing to take $200 or so in a written letter to me.  I have not responded yet but am tempted to call and take this deal if they will delete.  Then I realized...the collection agency is not on my credit report - only TD Auto Finance - so what can the CA delete?

In this situation - do I request for TD Auto Finance to correct their records that I do not owe them this balance?  Do I pay the $200 just to have this closed out?

Our goal is to keep on cleaning up credit over the next 6 months when we look to obtain a mortgage in December. 

Thanks! 

[DaBears]

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@schlicsty wrote:

Hello!  I may not be all hip on the lingo here so please bear with me...

I have a car loan that is with TD Auto Finance.  There has been no activity on it since 2010 and they have it listed on my credit as a charge off.  The remaining balance is approx. $514.

TD Auto Finance apparently has a collection agency after me for the $514 - they are willing to take $200 or so in a written letter to me.  I have not responded yet but am tempted to call and take this deal if they will delete.  Then I realized...the collection agency is not on my credit report - only TD Auto Finance - so what can the CA delete?

In this situation - do I request for TD Auto Finance to correct their records that I do not owe them this balance?  Do I pay the $200 just to have this closed out?

Our goal is to keep on cleaning up credit over the next 6 months when we look to obtain a mortgage in December. 

Thanks! 

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IfIf you pay the CA the $200 as a settlement they could report the trade line, They would then let TD Auto Finance know it was settle. However TD Auto would only update their trade line to show paid "settled for less" Depending on the lender for a mortgage they may not like that. How old is the Charge-Off from TD?

[schlicsty]

Thanks - I am not sure how to tell when the chargeoff occurred.  From my report, it appears 2010.  To gain the mortgage do I pay the amount in full to TD Auto to get it closed?

[guiness56]

If the OC did not sell the debt, they still own it and assigned a CA to collect the debt.  Normally if the OC lists a balance, they own it.

The CA cannot delete the OC account.

Is there anywhere on the letter from the CA that says if you pay by a certain date they will not report?  

I would offer a little more for the CA not to report.

[DaBears]

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@schlicsty wrote:

Thanks - I am not sure how to tell when the chargeoff occurred.  From my report, it appears 2010.  To gain the mortgage do I pay the amount in full to TD Auto to get it closed?

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I forgot to say welcome to the forums!!!!! Sorry TD's trade line is it still showing a bal? If so they still own the account and I would pay them in full. Paid in full looks way better to a underwriter than a settled CO.

[guiness56]

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@schlicsty wrote:

Thanks - I am not sure how to tell when the chargeoff occurred.  From my report, it appears 2010.  To gain the mortgage do I pay the amount in full to TD Auto to get it closed?

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Find the payment history on the CR.  There will be a series of late payments then it should say CO or C. It is the DoFD you need to worry about.  That is the date you first became delinquent and never brought the account current again before the CO or collection.