Forcht Bank won't PFD!

[Dawn]

What is the downside to applying for the loan at this point to see what would happen (or better yet ... applying for the loan after paying Forcht bank and getting it marked as paid?)

msensa ... if it were marked as paid (but didn't boost your scores) and FHA didn't care about it being categorized as "installment" would you still need to work on a score boost to qualify?

[fishbjc]

I had an old $50 collection from a medical co-payment (Kaiser) and FHA asked that it be paid.  It didn't have to be deleted though.

This installment thing is BS.

[msensa]

I'm not sure what would happen if we app'd now.  My scores are teetering at the brink and hubby's not scoring at all.  My broker seems to be taking the very careful route, which I'm trying to be very patient with.  She's dv'd a couple collections and is getting payment histories from a couple of accounts in my hubby's name which don't report to the ca's.

We've done the explanation letter on a couple of items, but she was really wanting to take this Forcht Bank off if possible. 

Are you guys suggesting I contact the big 3 about this?  I think it's completely ludicrous that they can turn an overdrawn account into a loan!  If I'd have known, I'd have started making payments so it could have BOOSTED my credit score then!!

And thanks, Shane.  Guess I'll carry this over to the mortgage thread! 

[Dawn]

I don't know what the best route for you would be at this point, as I only know what I read here about the pros and cons of disputing.

I would hesitate regarding contacting the CRAs at this point ... it might backfire on you. It seems to me that it is frequently better to try to work things out with the creditor than hitting the CRAs up first. 

I still wonder if the Forcht Bank thing would be of less concern if you could find other ways to boost your scores with positive credit history ... although that does take time.  One of the important things I have picked up on for those with negative history is that they need to dilute the negative with positive history.