topic Re: Trying to decide the best route to go to rebuild in Rebuilding Your Credit

Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 02:45:36 GMT

I have several accounts in collections. They have all been listed as charged off by the original creditors and now sit with portfolio recovery, midland funding and enhanced recovery, all are roughly 2-2.5 years old. I lost a very good paying job and I had to make the decision to keep my car and making car payments or keeping these cards, I chose my car.

Fast forward to present, I am not in a better financial situation and I want to work on my credit. I just do not know where to begin. I’m stuck between contacting the CAs and asking if they woul be willing to settle a lump sum of 40% for the accounts, if they will either remove them or mark as paid in full or just filing CH 7 and have it haunt me for 7 years, I’ve also heard that when filing I will loose what cards I currently have that are in good standing with no negative payments and 0 balance.

I have had some tell me to request verification, but I am way past the 30 days from first contact. Is it beneficial to try to negotiate a settlement of 40% or is that asking too much. I’ve already lost one suit with portfolio recovery (made my last payment of 75.00 with them in July) I really don’t want to go through that hassle again. I did hire a lawyer and she said PRA verified the debt with 12 months of monthly statements from the OC.

Any advice would be appreciated.

Re: Trying to decide the best route to go to rebuild

Anonymous — Sun, 04 Feb 2018 02:51:45 GMT

Welcome to the forums. Can you please post your charge offs with amounts so we can help you better?
Also read abcd 11 rules it will give you a very good guideline to your next steps.

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 03:07:31 GMT

Paypal- 472
Amazon store card- 938
2 capital one- 685 and 618
Kay jewelers- 376

None of the original creditors now appear in my credit reports, just the CAs, but I was able to get my reports before they were removed for whatever reason.

Re: Trying to decide the best route to go to rebuild

Anonymous — Sun, 04 Feb 2018 03:51:23 GMT

Not worth to even consider bk!
If you can afford to pay try sending pfd letters to the ones you can pay and go from there.
If you think you are gonna get sued you can always set up payments and after its paid you can try gw letters.

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 04:16:17 GMT

I want to pay them off in the next week, just so I can be done with them. Is 40% a decent starting point to negotiate, or is it typically higher? the one that I was sued for, my lawyer was able to get them to agree to remove once it was paid.

Re: Trying to decide the best route to go to rebuild

Anonymous — Sun, 04 Feb 2018 18:53:19 GMT

wrote:
I want to pay them off in the next week, just so I can be done with them. Is 40% a decent starting point to negotiate, or is it typically higher? the one that I was sued for, my lawyer was able to get them to agree to remove once it was paid.

They seem relatively small. Why don't you pay them in full? You would have a better chance of having them removed or marked paid in full.

Re: Trying to decide the best route to go to rebuild

Newbie2018 — Sun, 04 Feb 2018 19:52:13 GMT

Charge offs are the worlds worst. You can write a good will letter and ask if you pay them in full will they delete them. I'm not sure but I don't think that pfd work for charge offs. In my case it didn't. (I payed the full amount owed) .

Re: Trying to decide the best route to go to rebuild

Newbie2018 — Sun, 04 Feb 2018 19:53:41 GMT

They won't b removed from your report with a settlement. Only when you pay in full can you request a pfd and sometimes they won't grant them. Depends on who it is I suppose.

Re: Trying to decide the best route to go to rebuild

Anonymous — Sun, 04 Feb 2018 20:27:27 GMT

Can you wait out sol before starting. After sol they can only keep it on your credit for the reporting time. They can't legally get cash out of you. After sol, even if you acknowledge the debt is yours - they can't win in court. You have more leverage after sol.

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 21:30:56 GMT

Is the SOL counted from the time the account first went delinquent, or from the first time the CA acquires the debt. If it’s from the first time the account goes dilenquent, I still have 5 years to go. If it’s from the date the CA acquired it I still have 6. One of the CA is already threatening lawsuit (which I want to avoid again) if I knew they wouldn’t sue I’d just wait for SOL.

Re: Trying to decide the best route to go to rebuild

Newbie2018 — Sun, 04 Feb 2018 21:34:39 GMT

SOL is 7 years plus 180 days from the date the account first went past due depending on which state you are in. Why are you trying to sue? That's insane!

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 21:34:44 GMT

All the accounts are now in the hands of Midland and portfolio recovery, both of what hive heads are very sue happy.

Re: Trying to decide the best route to go to rebuild

Newbie2018 — Sun, 04 Feb 2018 21:35:50 GMT

I meant why are they **

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 21:37:25 GMT

I won’t have near enough to pay them off in full. I’ll barely get enough in tax money to pay a months rent (550)

Re: Trying to decide the best route to go to rebuild

Anonymous — Sun, 04 Feb 2018 22:39:41 GMT

Newbie 2018 SOL is not 7yrs plus 180. That is the reporting period. Google debt sol to find the charts then go to your state & credit cards. Most states are 3-6 years and SOL runs from the date of delinquency that never became current. This date is important because after it they can try to sue but the absolute defense is past SOL. The defense is not automatic, it must be asserted. The reaction when they are told dismissed by the judge is priceless.

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 22:57:55 GMT

SOL in ohio is 6 years no matter the debt type. According to my reports the accounts were closed by the original creditors in either 2014 or 2015, so I still have a few years left before I could use SOL as a defense. The suit that I just got done paying in June, Midland waited 5 months before SOL was up to file. They knew what they were doing. It pissed me off so bad.

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 23:01:22 GMT

Since the accounts have been charged off and purchased by CA's i know that I cant negotiate with the OC anymore, that time has passed.

Re: Trying to decide the best route to go to rebuild

Anonymous — Sun, 04 Feb 2018 23:08:34 GMT

Well, I would not offer a thing now. Save the tax refund and try to add to it a bit each month. When you have a comfortable amount then start with one account offering a minimal amount (and do this with the one you have either the fewest accounts with or the smallest total balance. This is a dance between getting them paid and maybe removed, and not ending up in court. I they think you have cash then they will go after you. Good luck.

Re: Trying to decide the best route to go to rebuild

Newbie2018 — Sun, 04 Feb 2018 23:32:31 GMT

My apologies. I guess i need to correct my notes lol. Thanks.

Re: Trying to decide the best route to go to rebuild

jesandrw4 — Sun, 04 Feb 2018 23:49:53 GMT

Thank you. It makes it tough because all of my debts are set with 1 of 2 CA's so even of I go in and offer to pay off the one they are threatning lawsuit on, they will still; come back in a few months and want more for the others. I hate that the whole debt thing is a catch 22. File bankruptcy and have it haut for 7-10 years, pay off the debts with a a deal and still run the risk of having them coming back and haunting you more if and when they decide to be sold off again.