topic Re: What to do? AMEX in Rebuilding Your Credit

What to do? AMEX

Anonymous — Tue, 21 Aug 2018 14:15:49 GMT

So my financial situation got a little wampus a couple years ago and some cards fell behind. I settled all but one. AMEX balance of $829. They offered me a settlement for half. Should I pay in full or settle? My concern is that either option will re-age the account and have a negative impact on my score. Any experience or advice is much appreciated.

Re: What to do? AMEX

Medic981 — Tue, 21 Aug 2018 14:29:24 GMT

Neither paying in full or settling an account will re-age an account. Time would be determined by when you first were delinquent in paying the account assuming you stopped paying on the account from that date. Paying or settling will only have a positive impact on your credit report. Creditors on manual review should look positively on paying old debts. If you want to eventually get back in with Amex I would pay in full the account.

Re: What to do? AMEX

Anonymous — Tue, 21 Aug 2018 14:58:49 GMT

Thanks for the advice. I went ahead and paid it in full just now. If anything negative comes of it I’ll dispute it at that point. It feels good to know that there will be no more collections calls...ever.

Re: What to do? AMEX

xaximus — Tue, 21 Aug 2018 21:15:22 GMT

Lucylucy1 - that was a good idea to pay it in full and not do a settlement. That shows that you kept your side and paid the debt off completely. Also, taking a settlement isn't looked at favorably when applying for any new CC.

Re: What to do? AMEX

Anonymous — Tue, 21 Aug 2018 22:01:38 GMT

Oddly enough I’ve gotten pretty good cars since having settled some thing. Settled with Chase for 30% a year ago and got a Freedom Unlimited last week with double the CL of the previous card. Also, finally got in with Discover recently after being denied in the past before having the settled accounts. All that being said I’m glad it’s paid in full and maybe someday I’ll get back in with AMEX.

Re: What to do? AMEX

xaximus — Tue, 21 Aug 2018 22:30:34 GMT

It's always possible to get back in with a CC lender once a debt is paid. The difference can be between paying in full or taking a settlement. I have seen where taking a settle has worked as well. If it gets reported as PFD and it's a settlement, that's the best of both worlds (paid in full and only paying a percentage).