Im confused about SOL someone please explain!!!

[glamchick]

Hi.... I have a credit card from 2001 Cross Country Bank that has turned me over to a CA.  They keep reporting me as derogatory on my credit report.  Well people keep mentioning SOL to me.  I dont understand what SOL can do for me???  For my state SOL is 3 years for Credit cards.  Does this mean if I pay it they have to delete it because its past the 3 years?????  Please help thank you

[Anonymous]

Hi-

SOL is only the period of time beyond which you can no longer (legally) be sued for collection of the debt.

The derog account can remain on your CR for 7yrs even if paid.

Have you read Tuscani's Credit Scoring 101?

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&thread.id=2654

Be sure to read the this  also-

http://ficoforums.myfico.com/fico/board/message?board.id=generalcredit&thread.id=2689

[Anonymous]

Being past SOL is tremendous LEVERAGE in obtaining a PFD - basically either take my offer  (including deletion) or never collect a penny.  Flip side is that you may have to 'live' with the baddie on your report for 7-7.5 years from DOLA/DOFD.  Positive is that even if they try to sue - you can get it kicked by showing up and defending with past SOL. 

The people that work at CA are not attorneys - so if past SOL, I would send to the CA's legal department along with to the general area - the legal dept will know what you are talking about at least.

[glamchick]

But they keep reporting me derogatory if I dont pay it?   Every month my score goes down because of them

[Anonymous]

A paid collection doesn't really help your score.  Only a PFD will help.