topic Re: Should I pay or ignore and just wait? in Rebuilding Your Credit

Should I pay or ignore and just wait?

Creditobsessed12 — Tue, 20 Oct 2009 20:57:55 GMT

As you all know I am in the process of fixing my credit! I have an old Bank of America account that I would like to settle. It is now with NCO financial. According to my report on myfico from TU the date of last activity is Nov 2005 and date closed is May 2005 and it shows a $0 balance since it is now with NCO. This account was opened in July 2004. The balance according to the NCO item is 8000 but it was really around 5000. What should I do? This item is really hurting me. I live in NY so the SOL is 6 years should I just wait? or should I try to settle?

Re: Should I pay or ignore and just wait?

BungalowMo — Tue, 20 Oct 2009 22:44:06 GMT

Do you have a report directly from TU? It will show the drop off date. Is it on EQ? It would show under DOFD on the original acct. This will be the first time you went into default & did not amke another payment. Does the OC acct say it is a CO? (chargeoff)

Find out that date & let us know.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 02:13:16 GMT

Well the transunion report says that it will be deleted in 12/2009 but I don't think that is right...that doesn't make any sense. The other credit reports don't have a date when it will be removed. The DOFD is 02/2005. And it does say that it is a charge off and has a zero balance.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 13:02:54 GMT

BANK OF AMERICA #

Balance: $ 0 Date Updated: 03/2008 High Balance: $ 6,948 Past Due: $ 0 Pay Status: >Charged off as bad debt< Account Type: Revolving Account Responsibility: Individual Account Date Opened: 07/2004 Date Closed: 05/2005 Date Paid: 11/2005 Loan Type: Revolving Account - Flexible Spending Credit Card Remark: Purchased by another lender Estimated date that this item will be removed: 12/2009

Re: Should I pay or ignore and just wait?

Boldilocks — Wed, 21 Oct 2009 13:24:12 GMT

I'd wait until Dec and see - I've had a few TLs where the drop off date on the report didn't seem to gel with what I knew of the account when no DOFD was listed (ie. it was looked set to drop sooner than it should). But it always does drop on the date they state it will - that has been my experience anyway.

If it doesn't drop or you decide you want to take care of it - in NY paid collections and charge-offs can only report for 5 years not 7. BUT, it has to be PIF, I believe - not a settlement.

If you decide to let it drop, just make a mental note and file it away - they can still try to sue if it's unpaid, even when outside SOL. You would have to go to court and they would lose because it's out of SOL, but it still requires you to do something (should that happen, and it's not likely, but sometimes does). So always watch the mail and make sure the CRAs have accurate address info for you so you don't miss any sneaky collection activity.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 13:29:19 GMT

What happens if transunion drops it and the other credit bureaus dont? Also if the OC item drops on my credit report will the collection item drop as well?

Re: Should I pay or ignore and just wait?

Boldilocks — Wed, 21 Oct 2009 13:34:46 GMT

Others will pipe up if I'm wrong (without even telling me that I'm an idiot - which is the nice thing about this board), but it should drop from all the CRAs at around the same time give or take a few days because the DOFD is an immutable fact that can't be changed or updated or messed with.

That's what happened with an old collection I just posted about - it was reporting on EX and TU - no DOFD given on either, but EX was stating drop off date of Oct 2009. TU wasn't showing a drop off date, so i was worried it wouldn't drop at the same time. It was removed from EX 10/17, and dropped off TU today.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 18:58:33 GMT

Any other suggestions or similar experiences? I'm like obsessed with my credit!!!

Re: Should I pay or ignore and just wait?

Anonymous — Wed, 21 Oct 2009 20:38:53 GMT

Keep hard copies of all 3 CBs. You might need them as proof of DOFD down the road!

EX types the drop date all the way to the right. It should say something like * will remain on CR until 12/2009 If it isn't there call them and ask.

The last activity that is reported might be the sale of the account in 2005.

It drops from you CR 7-7.5 years from DOFD not date closed or COd.

When a CA reports they must delete at the same time as the OC. This is another reason to always keep hard copies of each CB.

Remember that the OC must report the drop date (DOFD) to the CRAs not the CA.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 21:03:13 GMT

Well Experian does not show a date that it will be removed! But I have an account that went bad around the same time and it says 2012 for that one. I obviously don't want to dispute this with transunion because the sooner the better but I don't know what to do with the debt. I want to fix my credit but I don't want to pay 6000 for something that will drop a month later! The strange thing is that if you look at my TU credit report there are a couple of other accounts that say they will be removed before they should be and the other credit agencies say 2-3 later. What should I do?

Re: Should I pay or ignore and just wait?

BungalowMo — Wed, 21 Oct 2009 21:23:28 GMT

On EX do you have something that looks like this??

OK OK 30 60 OK OK OK OK 30 60 90 120 CO

Wherever you see that last 30 day late & you never paid again or caught up, that is your DOFD. Whether they say it or not...the first late that never got paid or caught up... 7 to 7.5 yrs later is the drop off date.

Oh...this method goes for all bad accts on all reports.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 21:28:49 GMT

Yes I am aware of this however TU says that it is wayyyy sooner for a lot of my CO's. What should I do?

Re: Should I pay or ignore and just wait?

BungalowMo — Wed, 21 Oct 2009 21:32:23 GMT

@Elizabethd1012 wrote:
Yes I am aware of this however TU says that it is wayyyy sooner for a lot of my CO's. What should I do?

Count your blessings!! TU is gonna drop it early! Happened to me with my Crap 1. TU & EQ both dropped it one year early, just like their records said.. EX...they are hanging on for all they're worth & not a second sooner.

I think those who enter the info into the systems sometimes get the numbers wrong & every now & then it works in our favor. Lucky YOU!

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Wed, 21 Oct 2009 21:39:19 GMT

So I can't get the others to follow TU?

Well I guess I'm going to have to make sure that everywhere I apply for everything uses solely TU because my 3 CO's are due to come off by Dec 09 according to them! I'll cross my fingers.

So I should pay the debt since TU says it will drop 12/09?

Re: Should I pay or ignore and just wait?

Anonymous — Wed, 21 Oct 2009 22:04:31 GMT

No, each CB has nothing to do with the other. Think of them as Target and Wal-mart. If you buy in one the other will not let you exchange or return it to them. The CBs are the same. They care nothing about what the other is doing.

Re: Should I pay or ignore and just wait?

Creditobsessed12 — Tue, 27 Oct 2009 17:11:38 GMT

So should I pay this account or no since TU is removing in 12/2009 but the other two CB are removing in 12/2012. What should I do? My credit is driving me nuts it is not going up!!!!!