topic Re: to a CC expert in Credit Cards

to a CC expert

Anonymous — Tue, 22 Apr 2008 05:10:04 GMT

i have a CA that is willing to PFD a collection, my balance on my CC is pretty low, would it be worth it if I used my CC(even though it would max it out) to pay the CA for it to be deleted?

what kind of score would I see by maxing out my CC but a CA being deleted?

Re: to a CC expert

Anonymous — Tue, 22 Apr 2008 06:35:03 GMT

Do you have other collections and is this PFD in writing?

Re: to a CC expert

Anonymous — Tue, 22 Apr 2008 14:27:49 GMT

here is a breif snap shot of CA's on my CR

1. figi's for $18.00 pymt after c/o $0balance will delete sometime 2010, they wont GW

2. Professional collection consultants- $0 balance they were suppose to update as paid, still show c/o, currently a complaint w/BBB otherwise drop off date is 2010 or 2011

3.sentry recovery balance $1708- plan to ask for PFD when IRS rebate checks come out next month, but have to DV them first

4. grant and weber balance use to be $546, i was part of a class action lawsuit against their client, won a credit for $191.10 so drops the balance to $354.90 plus interest of 9.25% starting from8/2004 up to now,(dont know what the total interest it)

the rep from grant & weber said that he is more then willing to put it in writing for the PFD, but 1st he needs to take the account to his supervisor to refigure the interest based off the new balance. I told him i would call next month when i have the money, then he will have the full amount due for me and the letter ready to be mailed out to me.

So should i max out my CC to pay this collection for the delete/ is the score increase worth it

Re: to a CC expert

Anonymous — Tue, 22 Apr 2008 15:41:04 GMT

bump,

anyone??????

Re: to a CC expert

ficonovice — Tue, 22 Apr 2008 15:45:27 GMT

If you can get it in writing and can't pay by any other means, I'd say sure, use your credit card to pay it off. Of course, I'd recommend then paying down that credit card ASAP. You will take a Fico hit for a maxed out card, but it will rebound as soon as it's paid down.

I'd say it's more important to get the collection removed if you can. Again, just verify everything and get it in writing before paying!!

Re: to a CC expert

Anonymous — Tue, 22 Apr 2008 17:05:05 GMT

can you set up installment payments and then PFD on the last payment? They way you don't have to max out your ccs.

Re: to a CC expert

Anonymous — Tue, 22 Apr 2008 20:16:58 GMT

nope in order to have the PFD they want the full amount due in 1 payment, thats why i was asking how bad of a hit i would take if i maxed out my card to get a CA paid and deleted.

Re: to a CC expert

Anonymous — Tue, 22 Apr 2008 20:49:11 GMT

How long will it take to pay off the balance? 3mo, 6mo, 12mo? How soon will you need credit? If you won't need credit before paying off the card then I would do it.

Example1: It will take you 6 months to pay card off but you need to buy a car within next 3 months - probably not good idea.

Example2: It will take you 3 months to pay card off and you don't plan to acquire new credit in 12 months. The short term drop to FICO doesn't matter.

Your FICO score today or tomorrow or next month doesn't matter. The only thing that matters is your FICO at the second your credit is pulled.

Another point to remember is having the other collections is going to hurt your score. Removed 1 of 1 collection is a big improvement. Removing 1 of 3 collections is not a big improvement.

Re: to a CC expert

Anonymous — Wed, 23 Apr 2008 00:10:44 GMT

How long will it take to pay off my CC? hopefully only 2 to 3 months.

My EX CR current has as for collection accounts grant and weber(who will let me pay for delete)

sentry recover $1623 balance(plan to pay off w/IRS rebate check next month, but i doubt they will PFD)

then I have daniels jewelers(never was a collection acct, just 2 late pymts in feb and march 2003) $0balance.

But my CC that I would max out is listed on all 3 CR's

EQ has 1 collection account the sentry recovery w/ a balance being reported of $1708

and TU has a paid c/o w/figi's, a paid collection that should be falling off this month w/ a $0 balance, and again sentry recovery w/ a balance of $1708

I dont plan to apply for credit any time soon, unless my car breaks down(knock on wood).

so considering those factors would it be worth it or not?

Re: to a CC expert

haulingthescoreup — Wed, 23 Apr 2008 00:26:09 GMT

I don't see any other lenders who would nail you for a maxed-out card, so I would cautiously say, with fingers crossed, go for it.

But first of all, call the CCC (who is it, btw?) and let them know what's coming, and what your plans are. Since it's an established account, I would think that you could pay pretty much immediately, without them putting weird holds on it. A smart tactic would be to throw as much money as you can at the balance at the moment it posts.

Re: to a CC expert

Anonymous — Wed, 23 Apr 2008 00:37:04 GMT

thanks for all your help, i just got off the phone with the CA and he said that I can go ahead and make monthly pymts but I would have to give a date of which the final pymt would be made othewise the offer is off the table. he told me to call him in a few days to make sure that they have all the paperwork drawn up to fax to me cause I also want copies of my original bill so i have refrence for it. so I wont have to max out my CC who is HSBC and I can still get this acocunt deleted.