First and foremost, I can't thank the members of this site enough. I am only 3 months into my credit repair, but the help and information I have found on this site is astonishing. Every chance I get, I plug this site to anyone who will listen.
This journal is being started a little late, but I will try to go back and be as detailed as possible.
Back in December 2007, I got a wake-up call. A friend of mine told me he had just had his wages garnished at work for not paying his student loans. I had been avoiding calls from student loan reps for over a year. I graduated in April 2006, so my first payment should have been due in Oct 2006.
So I called Nelnet, who directed me to GC Services. They explained that I owed about $21,000 from 5 loans after penalties/interest and told me I would have to complete a 10 month Rehabilitation Loan. So, grudgingly, I gave a $500 down payment and agreed to monthly payments of $240.
In November, my loans were returned to Sallie Mae, and I was offered a payment plan of 179.45 X 110 months, which meant $3,385 in interest. I asked how much I would have to pay each month to be paid off in 60 months, and they said $303. This plan saved me $1,560 in interest, so I agreed. My payments started on Dec 28, 2008.
After 32 of 60 payments:
51.47% paid off
Loan # Original Amount Current Outstanding Principal (at start of 60 months)
1 $3,500.00 $1,996.91 ($4,115.14)
2 $2,062.00 $1,176.36 ($2,424.40)
3 $2,750.00 $1,568.94 ($3,233.27)
4 $4,452.00 $2,540.22 ($5,234.39)
5 $1,048.00 $628.08 ($1,294.57)
Total $13,812.00 $7,910.51 ($16,301.77)
I thought this took care of my college loans, and once my Rehab Plan was completed, the 5 collection accounts on my credit report from my Student Loan Guarantor (USAF) were deleted from my report.
All my credit scores shot up 40-60 points, but were still between 492 and 540. However, one "education" collection account remained on my report. It took some time on the phone to figure it out, but it turns out that only 5 of my 6 original Nelnet loans were picked up and rehabilitated. So I called the guarantor for the sixth loan (OSFA, $2,005), and settled for $1,892. The guarantor collection from OSFA should be deleted and updated by the end of March 2009.
UPDATE: I was misinformed by OSFA. Since I did not complete a "rehabilitation" of my loan, the guarantor defaulted tradeline would remain and just switch to "paid." As soon as I discovered this, I came out, faxes blazing. I begged the OSFA Director to refund my payment so I could do the rehab properly. After some cajoling, she gave in and I got my check 3 weeks later. I have started the rehab with Windham Professionals (who said this is the first time they've ever heard of someone asking for an account to be RETURNED TO DEFAULT, haha), and it will be done in 12 months (MARCH 2010). Ah well, time is the best antidote for bad credit.
UPDATE: I was told in March 2010 that this last loan could not be rehabilitated because the balance was <$500 at the end of the 12 months. I was bummed. However, the guarantor TL was removed from all three reports in July anyway. I hope it doesn't come back!
2002 Lexus ES300
Approved April 24, 2009 by a local CU. Pulled EQ only. FICO was 627 at the time.
60 months at $234 per month.
Loan amount: $9,404.95
First Payment: May 29, 2009
***Extra payments applied to the principal in bold.***
Date Payment Loan principal Remaining
04/24 -- $9,404.95 (100%)
05/02 $1,000 $8,404.95 (89.37%)
06/23 $100.00 $8,275.83 (87.99%)
06/29 $100.00 $8,159.60 (86.76%)
07/13 $100.00 $7,997.80 (85.04%)
07/24 $100.00 $7,834.89 (83.31%)
08/10 $100.00 $7,670.71 (81.56%)
08/26 $100.00 $7,505.56 (79.80%)
08/31 $100.00 $7,405.56 (78.74%)
09/14 $100.00 $7,239.17 (76.97%)
09/28 $100.00 $7,071.39 (75.19%)
10/09 $100.00 $6,902.46 (73.39%)
10/26 $100.00 $6,732.23 (71.58%)
11/06 $100.00 $6,560.98 (69.76%)
11/24 $100.00 $6,388.40 (67.92%)
12/07 $100.00 $6,214.83 (66.08%)
12/29 $100.00 $5,964.21 (63.42%)
12/29 $100.00 $5,864.21 (62.35%)
01/19 $100.00 $5,687.30 (60.47%)
01/29 $100.00 $5,508.92 (58.57%)
Balance (10/1/10): $4,069.52 (43.27%)
Balance (6/14/11): $2,249.38 (23.91%)
Balance (8/10/11): $1,835.12 (19.51%)
BoA Worldpoints Visa
11/09 7% (cell phone bill posted at the last second before the statement cut)
03/10 - 09/10 0%
Capital One Platinum Mastercard
Eligible for auto CLI's through "Credit Steps" Program after 3rd and 6th on-time payments
$300 $750 $1,000
07/09 0% CL increased to $750
10/09 1% CL increased to $1,000
04/10 - 10/10 0%
Target REDcard (retail)
05/09 - 10/10 0%
(CONTINUED IN SECOND POST)
NON-MEDICAL COLLECTION ACCOUNTS
MAF Collection Services
Reporting on TU and EX
unpaid balance on previous utilities account
MAR 02 2009
Sent a PFD letter today, offering to PIF.
MAR 16 2009
Sent another PFD letter because MAF says I need to include a "valid reason" that they should agree to PFD. I essentially just added my story to the PFD letter I sent on March 2nd.
$192, paid RJM Acquisition LLC Reporting on EX only balance was from mysterious Compass Bank joint checking account MAR 02 2009 Started a GW letter campaign today. I have no idea where this account came from or who paid it, and the OC couldn't help me. They said my SSN is not even in their system. Wish I could have done a PFD. Many people have had success with RJM using PFD's. MAR 30 2009 RJM called me today in response to my emailed GW, to tell me it has been deleted from my credit file!
$106, paid NCC Business Services Reporting to TU and EQ paid account in early DEC 08 before I knew any better. By a stroke of dumb luck, they deleted it from my reports. Bitchin! DEC 28 2008
$656, unpaid HFC Collection Services Reporting to EQ only This is from an unpaid credit card that was opened when I was 17. I figure it was some preapproved offer that someone found and activated. Probably my mom, but that's a long story. MAR 02 2009 Sent a DV letter today to the CA, CMRRR of course. MAR 25 2009 Received proper validation, a Citi card started in my name somehow... MAR 26 2009 Sent a PFD letter, offering 25% of the updated balance of $711. APR 24 2009 HFC declined PFD, but accepted my offer of 25%, and the CU that approved my auto loan required that I pay this account as part of the terms of approval. Sent a MO. Boo.
***DELETED*** This account has fallen off (right at 7 years after DOFD.)
MEDICAL COLLECTION ACCOUNTS
One is unpaid and $170 from MAF Collection Services. I have never communicated with this CA in any form. This account is reporting identically to all 3 bureaus.
FEB 16 2009
I have WRITTEN BY HAND (with back-up copies) the "PRE HIPAA MEDICAL DISPUTE LETTER" to each CRA. I plan to send these out tomorrow certified mail (not CMRRR).
FEB 20 2009
Mailed Pre HIPAA Medical Dispute Letter CM today to all three bureaus.
MAR 01 2009
Pulled my reports today from annualcreditreport.com. This account is "under investigation" for all three bureaus. So far so good.
MAR 16 2009
Amount "verified." Sent "HIPAA Letter to the OC" and payment with restrictive endorsement.
APR 23 2009
The OC FINALLY deposited my check.
APR 27 2009
Sent "Follow up Dispute Letter" to all 3 CRA's CMRRR.
MAY 04 2009
DELETED FROM TU!!! Still waiting to hear from EX and EQ!
The second is unpaid and $839 from NCO Financial Services. I have never communicated with this CA in any form. This account is reporting to EX only.
FEB 16 2009
I have WRITTEN BY HAND (with back-up copies) the "PRE HIPAA MEDICAL DISPUTE LETTER" to EX. I plan to send this out tomorrow certified mail (not CMRRR).
MAR 01 2009
Have not mailed the Pre HIPAA Med Dispute Letter yet. I want to have the $839 before I start moving on this one. I just paid off a $2,000 collection to get it deleted and brought my util to under 8%, so funds are a little tight this month.
T he third is paid and $38 from Reliable Credit Services. Back in DEC 08, before I knew any better, I paid this collection. It has updated to show "paid" on my EX and EQ reports. TU has no record of this account. FEB 16 2009 I have WRITTEN BY HAND (with back-up copies) the "PRE HIPAA MEDICAL DISPUTE LETTER" to EX and EQ. I plan to send these out tomorrow certified mail (not CMRRR). FEB 20 2009 Mailed Pre HIPAA Medical Dispute Letter CM today to EX and EQ.
MAR 01 2009
Pulled my reports today from annualcreditreport.com. IT IS GONE FROM BOTH EX AND EQ!!! I have not received anything in the mail. I hope it stays gone. I have also GW'd this CA, so I am not entirely sure which action caused the deletion, but honestly couldn't care less.
MAR 02 2009 Received a letter today from EQ. "We have researched the Collection Account blah blah blah. The results are: This item has been deleted from the credit file." Woohoo! MAR 14 2009 Got a revised CR in the mail from EX. This account is nowhere to be found!
CA's on each CRA
TU 9 EX 11 EQ 10
TU 4 EX 6 EQ 5
TU 3 EX 6 EQ 4
TU 3 EX 4 EQ 3
TU 2 EX 4 EQ 2
MILESTONES (corresponding EQ FICO will be in red)
EQ 601 TU 592 January 29, 2009
EQ 634 May 15, 2009
EQ 634 TU 617 New TU FICO score 06/15/09
EQ 635 Cap1 Credit Steps increases limit from $300 to $750, 07/09
EQ 638 TU 644 New TU FICO score 09/13/09
EQ 638 HFC Collection Account falls off report between 09/09 and 03/10
EQ 638 Cap1 Credit Steps increases limit from $750 to $1,000, 10/09
EQ 638 I canceled my SW Subscription 11/09
EQ 638 TU 650 New TU FICO score 12/12/09
EQ 638 Will check EQ FICO 3/25/10 (STILL!)
EQ 638 One Year Anniversary of Capital One card, 03/13/10
EQ 638 TU 669 New TU FICO 3/23/10
EQ 638 One Year Anniversary of Target Red card, 04/24/10
EQ 638 One Year Anniversary of Auto Loan, 04/24/10
EQ 638 TU 687 Transunion Quarterly Update 9/20/10
EQ 668 Defaulted SL Guarantor Removed after Rehabilitation, 10/1/10
2 PR's fall off, 05/11
6 Defaulted SL's fall off, 10/13
A few weeks ago, I got a pre-approved CC offer from Capital One. This is my first preapproved offer in 5+ years, so it was a welcome sign of my progress this past year. THANK YOU MYFICO.COM!!! It's their builder/re-builder Platinum card that uses their "Credit Steps" Program. If I "use the card within 90 days, stay with the credit line and make the first three minum payments on time" I'll get an automatic increase. The same thing will happen after the 6th on-time payment. "Total increase will be $700-$1,000."
I only have one other card (BoA WorldPoints, 4 years and 10 months old, never late, 8% util), so another CC is an obvious next step while I am in repair mode (almost in rebuild mode).
I was going to wait till the end of the month to apply for this new card because I was waiting for a large collection to get deleted, but when it updated on Friday, it merely reduced the balance from $1,556 to $52. I called about this and the woman said it is scheduled to be removed at the end of THIS month. I made some other improvements on my CR's, and my EQ FICO has gone from 601 to 627 this month. Hoping for 650's by summertime!
Anyway, I applied online last night as was approved. I'll get my card and credit limit in the mail in 7-10 business days and report the results.
Signed up for TransUnion Quarterly FICO Monitoring using the 30% off promo code.
My new TU FICO is 628!
I'm hoping for 660+ by the next update in June. Right now I have 3 collection accounts on TU. One will be gone this month and the other two should be gonein the next 1-2 months.
RJM Acquisition LLC
Reporting on EX only
balance was from mysterious Compass Bank joint checking account
MAR 02 2009
Started a GW letter campaign today. I have no idea where this account came from or who paid it, and the OC couldn't help me. They said my SSN is not even in their system. Wish I could have done a PFD. Many people have had success with RJM using PFD's.MAR 30 2009
After not getting a repsonse via snail mail from RJM about the GW letter I sent, I took another member's advice and sent a GW via email to the two addresses he mentioned. I got a reply back from (Name removed) the next day with a phone number to call her back when I had some time. I called the next day and must have just missed her. She called me a few minutes ago to tell me she had DELETED the item from my credit file and is sending me a letter on case I need proof of this before it updates on my CR's.
I told her about the good things I had heard about RJM on myfico.com, and she said she was thrilled that they were getting positive reviews. She said they always get lumped in with other CA's who aren't so willing to work with you.
This paid CA was only reporting to EX, so I won't be able to see a boost in my FICO's, but this is one more baddie GONE thanks to the fantastic advice from members of myfico.com!
I just got APPROVED for an auto loan from Floirda Commerce Credit Union. I'm headed out now to pick up my 2002 Lexus ES300, so I'll report back later with all the details.
Anyone need a 1991 Acura Integra LS with 202,xxx miles?
Definitely watch out for NCO Financial. I sent them a PFD letter, and then about a week later I disputed their collection through EQ.
The dispute came back 2 weeks later as having been removed. It was also removed from my other 2 reports without me even disputing it with those CRAs.
It gets better. About 3 weeks after that, I got a letter in the mail in response to my original PFD that said they cannot accept the PFD based on my conditions noted in the letter (PFD letter from this site. Basically "delete this for $X and never report it again.") I assume that they knew it was fraudulent because they pulled it off of every credit report 2 weeks after I disputed it, but obviously another person was responding to my PFD and still acting like it was legit.
Got a 2002 Lexus ES300 financed through a local CU.
Almost their max interest rate, but I intend to pay extra every month, so it doesn't bother me too much. I'm more interested in having a reliable car to get to work and the positive tradeline on my credit. This CU reports to all 3 bureaus, and in a year when my last SL is rehabbed, this loan will be 1/3 paid off, and completely paid off in 29 months instead of 60. I should be in high 600's in less than a year!
By 2011 my paid judgement will fall off, and in 2013 my last CO will drop off, and I should be safely in the 760 range!
THIS FORUM ROCKS!!!