topic Re: GW/PFD Letters--Sound good??Advice?? in Rebuilding Your Credit

GW/PFD Letters--Sound good??Advice??

Anonymous — Sun, 21 Feb 2010 18:14:38 GMT

I have decided to attempt to clear off two old CO's that are still showing a balance with the original creditors. One of the debts to First Premier Bank was paid in 06 and I am attempting to have them change the reporting to paid as agreed. The other account with them was from 2007 and has a balance of $427. I am attempting to have them agree to a PFD or "paid as agreed" and changing the notes to "closed by consumer". I wanted your opinions on whether this note sounds good or not, it is the first one I have done.

thank you.

February 21, 2010

Mod Cut!

First Premier Bank

3820 North Louise Avenue

Sioux Falls, ND 57107

Dear Collection Officer,

First off, I would like to thank you in advance for taking the time to read my letter.
Several years ago, I had an account with your company. I fell on some very hard times and I was unable to pay my debts. With that said, I am now taking active steps to clear my credit report. Upon printing my credit report I found TWO accounts from your company. The first with partial account number Mod Cut! was paid as a settlement in 9/06. I was inquiring to see if it was possible to get this account reported as "paid as agreed" across all three major credit bureaus. This would be as a goodwill gesture on your part of course, but seeing as I did pay the debt it would be much appreciated.
The second account with account number Mod Cut! is currently showing as a chargeoff. I see that there is still a balance showing, leading me to believe that you are still in ownership of this debt. I would like to pay this debt either in full or for a reasonable settlement in return for removing this debt as "charged off" and reporting as "paid as agreed" and "closed by consumer" across all three major credit bureaus.
In the event you should agree to my terms please contact me at the address listed below. Once I receive a letter stating you will accept my terms I will promptly send payment by way of money order or cashiers check. I request no contact except by mail.

Mod Cut!

Thank you for your time.
Best regards,
Mod Cut!
2/21/10

Hi Rougelily!

In the future, please refrain from posting your personal information in the forums, its for your own privacy and safety. Thank you for you understanding!

--fused, myfico moderator

Message Edited by fused on 02-21-2010 08:14 AM

Re: GW/PFD Letters--Sound good??Advice??

fused — Sun, 21 Feb 2010 18:15:18 GMT

bump

Re: GW/PFD Letters--Sound good??Advice??

Anonymous — Sun, 21 Feb 2010 18:54:57 GMT

Sorry about that. I really should know better.

Hopefully with that said, someone can help me with my letter.

Re: GW/PFD Letters--Sound good??Advice??

fused — Sun, 21 Feb 2010 18:57:28 GMT

I think your letter looks good. Send it off and see what happens.

Re: GW/PFD Letters--Sound good??Advice??

Anonymous — Sun, 21 Feb 2010 18:58:37 GMT

Thank you. I will be sending it out tomorrow!

Re: GW/PFD Letters--Sound good??Advice??

LIGHTNIN — Mon, 22 Feb 2010 01:18:20 GMT

I would like to pay this debt either in full or for a reasonable settlement in return for removing this debt as "charged off" and reporting as "paid as agreed" and "closed by consumer" across all three major credit bureaus.

IMHO, I would take out the words in red, because they are going to take the PIF anyway.

I like the letter, it's short,simple and straight to the point.

Re: GW/PFD Letters--Sound good??Advice??

Anonymous — Mon, 22 Feb 2010 01:29:32 GMT

I really hope so!!! I am so excited! I know they will take it, they would be crazy not to!

One more question--if a CA is collecting on an account that still has a balance and the OC takes the PIF offer, the CA has to delete that off my CR right?

Re: GW/PFD Letters--Sound good??Advice??

Cotton_Britches — Mon, 22 Feb 2010 01:45:09 GMT

Your letter begins with "First off." I would remove this because it's unnecessary and sounds confrontational. Plus, that type of verbiage isn't normally used in business correspondence.

Re: GW/PFD Letters--Sound good??Advice??

Anonymous — Mon, 22 Feb 2010 01:52:33 GMT

I am just wondering why you aren't going for the full PFD - from what i've read, it seems like a bad idea to admit in writing that you agree that it's your debt.

Re: GW/PFD Letters--Sound good??Advice??

Anonymous — Mon, 22 Feb 2010 02:05:45 GMT

From what I have read OC's are less likely to take a PFD, more often CA's will. Since these are not CA's, I have decided to get them PIF. Part of the problem with my credit is the fact that my revolving accounts are so high, even though these accounts have been closed for a few years. The other First Premier Bank account has already been paid, I am simply trying to get this listed as "paid as agreed" as opposed to "settled." Once those get cleared off, it should raise my credit score at least a little bit.

Now the other accounts that I have that have gone to CA's I am doing DV on them. I am picking the smallest ones first right now, because I have the money. Come summer I will have more money to pay the rest. I am sending 2 DV's out tomorrow and then hopefully once they are validated (although I really hope they just remove) I will send a PFD letter. If I am understanding things right, LVNV Funding, who is collecting for one of my CO's that are still carrying a balance should be deleted once the OC accepts the payment. If not, I will dispute once paid.

I feel much more positive about this whole process now that I have seen the success stories of others and how this can work. I am really pushing for that 650 score by fall!

Re: GW/PFD Letters--Sound good??Advice??

RobertEG — Mon, 22 Feb 2010 07:50:39 GMT

Quite honestly, and with all respect for the time, thought, and effort put into this letter, IMHO, it misses the mark.

You have different issues to address with the OC.

First, you have monthly derogs on the OC account that preceeded the CO. I refer first to the paid CO..

The prior monthly derogs caused the OC to conclude that their account was not being paid in "good standing," and caused them to close the OC account, and then to post a charge off of the debt.

That account is now closed, and thus cannot be placed back into OC acount "good standing." It is dead. The CO is a totally separte derog reporting made by the OC. If you paid that, then it is a separate GW deletion request to the OC. I see no basis for any request to update prior OC delinquencies that preceeded the CO, and thus delete them, or return the account to "good standing.." My opinion.

As for the unpaid CO, you dont want them to just update status to paid. That wont benefit your FICO score. You want prior agreement to delete the CO from your CR. And, that alone, wont remove the prior derogs on the account that led up to the CO.

Re: GW/PFD Letters--Sound good??Advice??

Anonymous — Mon, 22 Feb 2010 09:15:57 GMT

So would I be better off sending a PFD to the OC's or dealing directly with the CA's? I just want to get these things cleared, I don't care who I have to deal with. I guess I assumed because the OC was still showing a balance that they still owned the account and that a CA couldn't collect.

This account hasn't gone to collections, I have looked thoroughly at my CR and I can't find a matching account from a CA to go with it, so I assumed that dealing with the OC was the appropriate move. Maybe I should ask for a PFD from the OC?

I will do whatever has to be done to get these things off my CR.

Message Edited by rougelily on 02-22-2010 04:15 AM