Paying off my old cards and have a question

[Anonymous]

I have decided to secure a personal loan for about $4,000 from a bank to pay off my outstanding credit card balances.

I am hoping to be able to negotiate with the individual creditors to remove the numerous lates from my accounts in exchange for a lump sum payment/settlement for each.

My question is this: Is that something I would need in writing from the credit card companies (should they agree to do it)? If so, is there any particular format that works better than another?

I guess I am just worried about them taking the money and boning me by keeping the lates on there and I am not exactly sure of the procedure I need to follow.

Thanks,

David

[sl]

I would send the cc company a PFD letter (paid for deletion) offering to pay the amount or settled amount for deletion on the cb. Don't send the money until you have it in writing.

[Tuscani]

http://ficoforums.myfico.com/fico/board/message?board.id=generalcredit&message.id=2659

[Anonymous]

Thanks Tuscani!

[Anonymous]

Well, I applied for a $4,000 personal loan to cover my credit card debt today with SunTrust and at present, they are still deliberating over it (8 hours later).

Apparently, they pull EQ for the credit check, which is my worst score

I will keep my fingers crossed and hopefully they will have some positive news for me on Friday. I keep telling myself that the worst outcome would be a higher than normal interest rate and whatever rate the bank gives me will be amazingly low when compared to the 29.99% I am getting shafted with from the credit cards right now.

I will update when I hear something.

David

[Anonymous]

dhoff?   You wouldn't happen to be The one and only David Hasselhoff would you

[Anonymous]

Alas, no.

Though it would be rather entertaining if I was... and was having credit problems and decided to get advice here.

David

[Anonymous]

LOL  LOL   well you know with your drinking problems and the inability to eat fast food hamburgers.  I could see it.

[Tuscani]

Did SunTrust approve?

[Anonymous]

Tuscani -

Thanks for asking

No word yet on the approval. I called the bank around 4:45 p.m. EST and my app was still pending. They said they would call me in the morning. <sigh>

David