topic Re: New to MyFico; a few questions in Rebuilding Your Credit

New to MyFico; a few questions

RoR215 — Fri, 22 Mar 2013 16:12:44 GMT

Hello All,

I'm a long time reader, but just now signed up. I have a few questions and I am hoping you all can help me.

Ok, so first a little background. My score is bad, I knew it was, and have always wanted to clean it up. Mostly everything on my credit was bad. 24 collections. No revolving accounts (no, no credit cards), no loans, pretty much, nothing good (Don't stone me.) All but 2 of those were all from medical collections between 2008-2010. My son was born in 2005, and has had several surgeries from the time he was born to present. I was keeping up with the bills at first, but around 2007 I couldn't anymore financially. So a lot of them went into collections. I had gone through a divorce at this time, which caused me to not be able to stay current with the medical bills. From late 2010-mid 2012 I was more than able to keep up with the new medical bills coming in from my son, but never able to work on the older ones. I'm now stable enough to do so and have started.

My credit report as of August 2012 showed the 22 collections from medical bills, and then the 2 that weren't was my student loans. I started paying what I could towards the medical collections, the smaller ones at first jut to get them paid. I entered into a repayment agreement with my loans and have been paying on time every month (directly taken from my account.) But they are not reporting to the CRAs that I am paying.. Which frustrates me... But, those are almost Paid in full, so I'm not too worried about it, as soon they will show zero. Now, all I have left is 9 collections out of the original 24.

Now, my main question. 2 are fairly large bills. 1 for 992.00 and one for 3703.00. The others are smaller. I have been saving money every month, and am now at an impasse. I have the ability to either, pay the 2 very large ones in full, leaving 7 open collections, or pay the 7 open ones in full leaving only the 2 very large ones. Which would be best to pay first? Get the large ones off there leaving more smaller ones, or get as many of the small ones off, leaving only the 2 large ones?

I have a meeting with a financial advisor next weekend at my credit union to discuss a few secured cards, so that is in the works. Now just which wondering which collections I should target first. Any and all help would be appreciated.

Re: New to MyFico; a few questions

koky — Sat, 23 Mar 2013 19:42:37 GMT

i would Start with the bigger ones first, but makes sure you try to negotiate a settlement and also ask for a PAY FOR DELETE. Start your negotiations around 25% the original price.. Also ask them to delete it from your CR... By the way how old is the Debt and What are the Statue of Limitation in your state...

Re: New to MyFico; a few questions

Anonymous — Sat, 23 Mar 2013 20:20:36 GMT

I would pay the 7 smaller ones first if they will agree to delete. Once those are gone, tackle the bigger ones.

For the paid ones, start sending out GW letters.

Are these from a hospital?

Welcome to the forums!

Re: New to MyFico; a few questions

RoR215 — Mon, 25 Mar 2013 19:54:14 GMT

@ guiness56 They are all from a hospital, same hospital. But all with CA's. I was thinking that getting the smaller ones first and then GW'ing them to try and get them off was the better idea. Because if they came off, then that would be far less in COs on my credit vs the 2 larger ones gone while still having 7 COs left. I just wasn't sure as the balances are so different. Though, I know, the balance doesn't matter, it's bad none the less, and Fico doesn't count the balance when factoring score.

I have started sending GW letters to the ones I have already paid. But nothing yet. Going to keep trying.

Thank you for the replies so far.

Re: New to MyFico; a few questions

Anonymous — Mon, 25 Mar 2013 20:13:50 GMT

Have you tried to see about financial aid through the hospital? It has worked for some.

Re: New to MyFico; a few questions

RoR215 — Mon, 25 Mar 2013 21:19:23 GMT

I did try contacting the hospital, but they said they can't help as they no longer have the debt. I have to deal with the CA's now.

Re: New to MyFico; a few questions

Anonymous — Mon, 25 Mar 2013 23:24:46 GMT

If you know they are your debt I would just call them and ask if you can PFD.

Re: New to MyFico; a few questions

RoR215 — Tue, 26 Mar 2013 20:01:21 GMT

Oh, I know they are mine. Well, they are my responsibility. I'm going to try for a PFD. But a quick question on that. Since they are all at the same CA, can I request the PFD all lumped together? Add up what they are in total and offer a percentage of that (I can PIF if I have to), or should I do it one by one?

Re: New to MyFico; a few questions

RoR215 — Tue, 02 Apr 2013 18:58:45 GMT

Any one?

Re: New to MyFico; a few questions

Anonymous — Tue, 02 Apr 2013 19:40:40 GMT

24 collections. Dispute everything. Some may fall off some may not. But in your situation, before i shelled out one red cent i'd dispute everything. You can only dispute 4 items at a time. Start there and see what comes back. The ones from 2008 should be off your report - u just have to ask. They wont do it for you.

Re: New to MyFico; a few questions

RoR215 — Tue, 02 Apr 2013 19:47:25 GMT

Thanks for the reply. But I only have 4 left. (It was 7 when I started this thread, but have since paid 3 in PFD) The 4 is what my question is. They are the larger ones. I went ahead and paid the smaller ones to get them off.

The 4, are all with the same CA. Merchantscoll (is what it says on my report) and they are all from the same OC. I know they are mine. What I was wondering, before I send them a PFD, can I lump the PFD in one? Or should I send them seperately?

ie:

Accounts: a, b, c, d

Total: 5326.00

Offer: whatever % I come up with

To settle all 4 accounts at one time and be considered satisfied in full.

or:

Account: a

Total: 3703

Offer: %

separate letter:

Account: b

Total: 992

Offer: %

Hope that is clearer.