Goodwill Letter Trick... Will it work?

SendMeNoFlowers · ‎07-25-2024

I have jacked up credit.

I have 7 Collections totaling $4000. 4 collections are with Midland Credit Management and 3 are with Credit Collection Services. They both agreed to delete after I settle with them! They even said they'll send me a letter in writing.

I have 3 charge offs from 2 different credit unions, who doesn't sell their debt... they assigned my debt to an attorney to collect! I defaulted on these accounts in late 2022 as well as all my other accounts. I've reached out to both credit unions and they both told me that they do not offer pay for deletion.

So my trick was to write them a goodwill detailing my hardships over the past 2 years, and how I am currently living out of hotels and spending tons of money because I can't rent an apartment due to bad credit and how I am studying for a new career path (in which I am) and that I will like to start my life over, start a family and purchase a new home in 2025. I want to mention that I am in talks with a financial advisor who is suggesting that I file for Bankruptcy (I'm not considering Bankruptcy in real life) to start from a clean slate. I want to mention that if I can't get these negative marks removed from my credit it wouldn't benefit me in the future because though, it'll stop updating and be marked as paid... it's still a stain and I'll still be considered a high risk borrower. Therefore, instead of taking the money I have to pay off this debt, I'll just purchase a new car instead to have reliable transportation back and forward to work... as I been taking the city bus to work in the late hours because I can't even finance a decent car due to bad credit. Of course the letter will be very sincer and I will be expressing how sorry I am for allowing my account to default and how it will never happen again.

DO you think mentioning bankruptcy would make them accept the pay for delete, since they risk not getting paid at all if I move forward with the bankruptcy? Although my total debt is only $11,000... and I won't do the pay for deletions with my collections yet, so if the credit unions take a look at my credit they can see I have debt that is bankrupcty worthy lol.

Do you all think this is a good trick?

JoeRockhead · ‎07-25-2024

Unfortunately, the reality is that they will be unfaised by what ever story you spin, or angle you take. I know of no lender that will grant a goodwill deletion of a charge off.

They've already written the debt off so the promise of a bankruptcy means nothing to them. In addition, many credit unions won't offer you any more credit in the future until they're paid back in full, bankruptcy or not.

Being they've hired an attorney to collect the debt, I'd be more concerned about them suing you. The last thing you want is a judgement on top of everything else. I'd recommend you come up with a different trick to tackle the debt.

Cowboys4Life · ‎07-25-2024

"DO you think mentioning bankruptcy would make them accept the pay for delete, since they risk not getting paid at all if I move forward with the bankruptcy? Although my total debt is only $11,000... and I won't do the pay for deletions with my collections yet, so if the credit unions take a look at my credit they can see I have debt that is bankrupcty worthy lol.

Do you all think this is a good trick?"

No, it isn't a good trick. Your threat of BK is an empty one until you actually file. They hear it hundreds if not thousands of times a month. While your situation is difficult and sad if they made an exception for everyone who had extenuating circumstances they wouldn't be in business. I am not clear why you are adverse to filing BK your situation seems prime for it.

SendMeNoFlowers · ‎07-26-2024

In Response to User: Cowboys4Life

Well, I know that removing charge offs as original creditor is not normal nor is it practical for them to do so. If I was a business, I would think the same way about removals because it defeats the whole purpose of credit. I get it. But what I also know is that it's definitely possible for them to remove it, and many people have been granted good will removals. I know a few people who's been successful with goodwill removals. That's why I wanted to just try and try to use some tricks to try to get it removed.

Also, I'm against Bankruptcy because while I definitely have enough debt to file bankruptcy, but it's still not that MUCH for me to have to really do it. Bankruptcy leaves a negative impact on your credit as well. I can get all my collections removed after payment, I've been reassured by the collection agencies that they in fact do pay for deletions. And their websites state that they do it. Therefore, If I can settle with them.. I could get all of those removed. The only 3 negative things that would still stand is the credit unions charge offs... and I could also get those paid off as well. I just wanted them to get removed as well... and I'm going to try! But if all fails, I'll just have 3 paid off charge offs on my credit which will fall off in the next 5 years... but I think that would be better than Bankruptcy! If I had over $20k debt...maybe, but I have around $11,000 in debt.

SendMeNoFlowers · ‎07-26-2024

@JoeRockhead wrote:
Unfortunately, the reality is that they will be unfaised by what ever story you spin, or angle you take. I know of no lender that will grant a goodwill deletion of a charge off.

They've already written the debt off so the promise of a bankruptcy means nothing to them. In addition, many credit unions won't offer you any more credit in the future until they're paid back in full, bankruptcy or not.

Being they've hired an attorney to collect the debt, I'd be more concerned about them suing you. The last thing you want is a judgement on top of everything else. I'd recommend you come up with a different trick to tackle the debt.

Okay, you may be right... they might not care about the bankruptcy thing, but I guess it doesn't hurt to try. Also, it's been 2 years... I know between anytime from now to 2029, they can sue me. However, they haven't so far and I'll just pay them off before that happens. I can get them paid off... and still going to pay them off regardless, I'm just trying to find a way to get it off my credit. I'm literally just trying to use every trick to get it removed after payment. I know goodwills are not successful 90% of the time, but I also know so many people who has had success with them. I know every situation is different and there's no guarantees. I'm just trying any and every trick.

bakenshake · ‎09-18-2024

your approach is lame. you have a lot of growing up to do.

FicoMike0 · ‎09-18-2024

Maybe you can scare up some more credit, get cash advances and put everything on credit for a few months, gather up all the cash you can and bury it in a mason jar in the back yard. Then file bk!