Can an OC accept a PFD?

[Ned505]

HI,

I am preparing a PFD for an OC that will CO the LOC in February 09.  My question is can an OC accept PFD.  Or must it CO first, and then I go deal with the third party?

[Anonymous]

An OC can accept a PFD.

Whether they will or not, is another question.

If the account is not CO yet, then it is still within SOL and they can just file suit.

Also, if not CO yet, it just has lates, correct? How severe?

A better option would be to negotiate a rehab on the account if possible. You PIF, they leave account open and remove late pays.

[Ned505]

SW,

Correct.  It just shows lates.  one 30-day (12/07) and ten 60-day.  That is from my 12/08 TU report.

Can you elaborate on why rehab, would be better than if the account was deleted?

Thanks.

[Anonymous]

Depending on how old the account is, it could actually be helping you.

Also, if it is being treated as a revolving TL, it could be helping your util.

A CO is severe.

The damage from the lates fade with time.

Anytime you can rehab an account and keep it as a positive aging TL on your report, it is normally a good thing.

Whatever you do, don't let it charge off. That is going to damage you more than it has now.

Is the account closed already?

[Ned505]

SW,

The 12/08 TU report states that the account "closed by consumer".  I did close it.  But also, during the summer I had accepted a re-hab and had negotiated a mutual re-age with the OC.  I had made up the ground before another set-back.

I have had constant oral communication with the OC all along.  I am fairly certain that they would allow me to start paying an re-age again. 

What I hear you saying is that the old TL is more valuable.  And if the CO occurs it will deal a blow to my scores. 

If the lates are removed and the account continues, will that also be an additional positive?

Thanks!

[Anonymous]

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Ned505 wrote:

SW,

The 12/08 TU report states that the account "closed by consumer".  I did close it.  But also, during the summer I had accepted a re-hab and had negotiated a mutual re-age with the OC.  I had made up the ground before another set-back.

I have had constant oral communication with the OC all along.  I am fairly certain that they would allow me to start paying an re-age again. 

What I hear you saying is that the old TL is more valuable.  And if the CO occurs it will deal a blow to my scores. 

Yes and Yes

If the lates are removed and the account continues, will that also be an additional positive? Yes

Thanks!

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[Ned505]

OK, Thanks.

The account is over 7.5 years old. 

I will work on a re-age.