My Wife and I are in the process of having a home built. The build has not started yet but we've just met with the design center and will be scheduling the meeting with the Builder within the next few days. We are going through DHI Mortgage (DR Horton). My credit score is around 640 and hers is at 650. We have been working hard the past few months rebuilding credit. We both have our own credit cards. Opened within the last few months. We opened 3 each to have higher available credit. She has a BK about 5 yrs old and I have a repo. The repo was scheduled to fall off the report in September. I say was because I just got a letter from LVNV that the debt was purchased by them. I have 30 days to dispute and don't know what to do. My credit advisor with DHI has told me she can't advise until she sees it on the CR. They have not reported the debt to the CRA's yet. The car was purchased in Ohio in 1999. The repo occured in 2001. 2001 is also the DOLA. I moved to Texas in 2001 and this is where the car was repo'd. In the letter from LVNV they say the balance is $9400 and have offered a settlement of $3300. As I mentioned above it was scheduled to fall off TU next month. It is only listed on TU.
My questions are: Should I ask for validation? With the repo already being on my CR for 7yrs does the CA (LVNV) have a right to post it with the CRA's as a new debt or in any other way? Should I just pay the settlement? Or shall I just wait till it hits my CR and see what my credit advisor says?
Also, what state SOL is used in this case? I still live in Texas.
Any advise would be greatly appreciated.
thx
csj
