Penfed app

[Meanmchine]

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@GenesisLS wrote:

Not sure what your "baddie" is but as I understand Penfed, any unpaid collection or charge off is an instant denial. They've also tightened up their UW most suggest 700 or real close to it for a good chance at approval. I have one bad mark on my reports (3 year old auto loan charge off as the cosignor) and that was the reason for denial for me. Ymmv good luck.

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When i joined 2 years ago, I was approved for a PCR card $3500 720ish EQ and 2 unpaid chargeoffs

[Green456]

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@AverageJoesCredit wrote:
Even 700's get denied

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800 here got denied due to student loans.

[Anonymous]

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@GenesisLS wrote:

If you pay it off and let it report as paid, it might push your score just high enough to be in good shape with Penfed. Just a thought. Good luck and let us know what happens.

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Are you sure about this? I thought that simply paying a collection off and having it report as "paid" or with a zero balance doesn't affect your credit score because it still lists as a collection on your credit report, which is a score-killer. Just like it doesn't matter if the collection balance is for $5 or $5,000. That's why you have to ask them if they will DELETE it after you pay, and that's how you get the score increase. At least, that's what happened in my case.

[GenesisLS]

I believe Penfed uses fico 9. The major difference between fico 8 & 9 is that 9 doesn't penalize you for fully paid collections. It will dock you for "settled for less" though. And if Penfed's uw doesn't like "unpaid" collections it will help in that way too. GL

[GenesisLS]

I stand corrected... settled collections also do not affect fico 9 scores as long as the balance is zero.
https://businesscreditreports.com/facts-you-need-to-know-about-the-new-fico-score-9/

[Anonymous]

Roger that.