topic Re: Collection question in Rebuilding Your Credit

Collection question

Anonymous — Wed, 23 Dec 2009 03:07:16 GMT

Collection agency [?] 682yc05551 Original balance [?] $55 Current balance [?] $0 Status [?] Paid Date assigned [?] Jun 01, 2005 Date reported [?] Feb 01, 2009 Date last active [?] Jan 01, 2005 Date paid [?] Not Reported Date closed [?] Not Reported Original lender [?] Brighthouse Net Account number [?] XXXX8147 Type of account [?] Not Reported Account holder [?] Individual Type of credit [?] Not Reported Payment status [?] Not Reported Largest past balance [?] Not Reported Amount past due [?] Not Reported Account descriptions [?] Not Reported will this account fall off in 2012 or 2016? This is the only thing that is keeping my score down a little. Other than that I have a clean but thin credit file. Anyone ever had luck getting a paid collection removed after the fact?

Re: Collection question

Anonymous — Wed, 23 Dec 2009 04:42:14 GMT

It's very difficult to read your post because it's all single spaced, and partly cut and pasted . . .

So you know the part about this CA being masked right? the 682yc05551 is some kind of code for the name of the CA. You can get the name of the CA from a credit report that you pull directly from the bureaus or annualcredit.com . That way you'll know who to contact.

So yes, it is possible, but the only way is to write GW letters. There are some samples around here, but the best ones just simply explain what the situation was, and politely request that the account(s) be deleted, or that the negative reporting be changed to positive. They don't have to answer them, and you might get a lot of no's, but you just keep sending them. Folks around here have all kinds of systems to walk the line between harassment and creating a situation where they want to help you. So use your judgment.

Good luck!

Re: Collection question

MarineVietVet — Wed, 23 Dec 2009 05:36:51 GMT

You'll need to know the DOFD to determine when it will drop off. The full Equifax report from their site or http://www.annualcreditreport.com

will list that date. It will drop off 7.5 years from then.

From a BK years ago to:
7/09 TU-742 EQ- 779
8/09 TU-765 EQ- 783
9/09 EX pulled by lender 802

You can do the same thing with hard work.

Re: Collection question

RobertEG — Wed, 23 Dec 2009 06:38:18 GMT

Hiya!

Unfortunately, you do not, in the eyes of the FICO scorers, have a "clean credit file", even if all debts are satisfied.

Any late of 60 days or more, any charge off, any prior collection, or any public record puts you into what is called a "dirty" credit file.

FICO is primarily an analysis of your likehood of defaulting on payments, and thus focuses on prior defaults as a predictor of your future behavior.

Paying off those debts is always commendable in the eyes of creditors, but not in the eyes of FICO. Paid or unpaid collections hurt the same. Paying does not erase the fact of the derog.

It is not only the collections that remain, paid or unpaid, for 7 1/2 years, you also have the monthly delinquencies on the original creditor account that remain for 7 years, and if they led to a CO or collection, were most likely themselves major derogs of at least 90-days.

Re: Collection question

Anonymous — Wed, 23 Dec 2009 13:47:17 GMT

Okay. Thanks for the help. I once read somewhere that sometimes FICO doesnt calculate in collections under 100.00 . But a collection is acollection right? I will try sending them a goodwill letter at the beginning of this year. This is the only DEROG on my reports on EQ and EXP. My scores are 680 TRANS and 670 EQ. I want to get to 700's! I started at 560 early last year. Ive come a long way .

Re: Collection question

llecs — Wed, 23 Dec 2009 16:28:59 GMT

pumbaablah wrote:
Okay. Thanks for the help. I once read somewhere that sometimes FICO doesnt calculate in collections under 100.00 . But a collection is acollection right? I will try sending them a goodwill letter at the beginning of this year. This is the only DEROG on my reports on EQ and EXP. My scores are 680 TRANS and 670 EQ. I want to get to 700's! I started at 560 early last year. Ive come a long way .

I think newer versions of the FICO score (FICO08) omit collections less than $100. However, a super vast majority (if not all) lenders aren't even using that version yet, so it'll continue to count. Lenders though will still individually look at and consider collections under $100, even if FICO 08 is being used.

IMO, send the GWs now. You'd have a better shot at getting it deleted immediately after Christmas than immediately after New Years. People get grumpy when they have to go back into the swing of things in January.

Re: Collection question

Anonymous — Thu, 24 Dec 2009 18:16:34 GMT

Well, I just sent goodwill letters to Credit management. Also I found the names of the CEO, Vice President and President of Brighthouse Networks and sent them one also. Wish me luck. All this to get a $55.00 collection off my credit. If only it could be easier!

Re: Collection question

Anonymous — Tue, 05 Jan 2010 00:28:50 GMT

Just got an email back from Brighthouse Networks regarding the collection account. Called the contact and it was a really nice lady. She said that she will look through the database and find my info since its been a couple of years . If and when she find it she will try her best to get it cleared from my credit report. I explained that I didn't think twice about the collection because it was only 55 bucks. Also told her about my situation that I was trying to clean up my CR. Wish me luck!!!!!!!!! If I can get this taken off my credit report I will be DEROG free on all three reports!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Re: Collection question

RobertEG — Tue, 05 Jan 2010 05:44:07 GMT

I will only offer you one thought on why a $55 collection may not be viewed as "trivial" by future lendors, or by FICO.

Creditors know that consumers, particularly in this economy, often run into payment problems. They just cant somethines make the payment.

But for a small, $55 debt that is not paid, and even allowed to then go into collection, that may signal the potential creditor that you just decided not to pay the debt, even though probably able. That is a consumer trait that I would not want to appear in my CR, and one reason why FICO risk analysis still treats it as a major derog, and does not drop it until 7 1/2 years from the orignal OC debt.

Just my opinion.

Re: Collection question

Anonymous — Tue, 05 Jan 2010 13:13:38 GMT

Well lets just hope my GW letter worked. The rep did seem very helpful and willing to do it for me. Fingers crossed. I was told that she would give me a call on Wed about it. Hopefully she starts the year off with a little charity!!!

Re: Collection question

Anonymous — Tue, 05 Jan 2010 22:21:27 GMT

Alright guys , I have one more scenario I need some advice on. I just spoke with Brighthouse NEtworks about the account that went into collections with them that started in 2005. I paid Credit Management the 55 dollars that I owed. The collections dept at Brighthouse Networks is willing to send me a letter stating that the account I had with them was satisfied and paid in full. They will be sending the letter out today she said. If it is what I'm hoping it will say, how would you guys go about working this. I really don't want to mess this up as this is my LAST derog on EQ and EXP. Would sending the copy of the letter and a short note to the CB's delete it from he reports? Should I send it to both CA and CB? How should I word the letter or say to them? An advise would be greatly appreciated!!! MyFico rocks!!!!!

Re: Collection question

RobertEG — Wed, 06 Jan 2010 03:54:11 GMT

It wont do much of anything.

Paying an account never remvoes it from your credit report, and thus does not eliniinate it from FICO scoring.

It will remain for 7 1/2 years from the DOFD on the OC account, paid or unpaid.

What it does is improve your profile in a manual review. It shows you paid your debt.

But no FICO gain.

Re: Collection question

Anonymous — Wed, 06 Jan 2010 04:10:53 GMT

Well the OC is not on my CBR's. I paid that collection to Credit Management LP in 2008. If I send the letter thats coming hopefully stating that the account was in good standing from the OC to the CRA's, would that make any diffrence? Would they (CRA's) see that as contradicting with the CA and possibly make a deletion happen? Or would anything from the OC be no good now since the acct was transferred to the CA and ended there with me paying them( CA) ? Don't get me wrong , I will still try but I'm just curious to know if anyone heard of getting a deletion this way