FICO disparity and what to do about it..

[Anonymous]

Hi, I've been working on improving my credit for a while now. I've been able to raise it from sub 600 (all three reporting agencies) to Equifax 738, Trans 730 and Experian a crappy 655... and this is the problem.

I have a negative account that is in collections that is listed solely on Experian. It's a measly 70 dollars that I supposedly owe a Radiology clinic in Arizona. I've contested this with Experian and lost.

It's an old debt (and a false one I believe) and will fall off in about a year or so on it's own.

Should I pay this? or is it simply better to wait and let time take care of it.

Another note - I recently got a credit card from Bank of America. However, it is a secured card and only 1K. I was denied for an unsecured card and the only agency they pulled from is Experian. I've done some checking and it appears that Discover pulls from Equifax... should I apply for a Discover card?

[llecs]

Your call. I'd only pay it if I knew i owed it and I had a PFD agreement from the CA saying they'll delete it in exchange for a payment. A paid CA is just as damaging as an unpaid one per your FICO score. Another thing I'd look out for is the SOL in my state. If it has yet to expire, I'd be on guard. I don't think anyone would sue for $70, but you never know these days.

[Anonymous]

I don't believe that I owe this debt. I didn't even know about it until I pulled my reports - It's from early 2006. I'll probably just let it fall off on it's own or possibly try to contest it again. I guess I should be happy that it only shows up on Experian. However, the difference (655) compared to the other two agencies (730+) is dramatic, to say the least.

At this point I guess I'll stick to my 1K limit secured BofA card and build some history with it. Like I mentioned earlier - I'm tempted to try for a Discover card since they seem to pull from Equifax, but I'm not sure it's worth the risk of having more hard enquiries showing up this early. Rebuilding your credit takes time - something I've had to deal with for years now. I've made significant progress. No reason to get impatient now. 

[RobertEG]

If you believe it to be inaccurate reporting, such as a delinquecy or derog reported on an account for which the debt itself is contested. file a direct dispute with the party who reported the information to the CRA.  Bypass the CRA entirely, and send your dispute and documention directly to the party who reported it.  FCRA 623(a)(8).