Need help with multi items

[Cleaningitup2016]

Also, as mentioned earlier, I find it odd one of the 4 original accounts with SYNC that charged off completely vanished from all 3 credit reports about a year or so ago. I have no idea what triggered it. It was a Walmart account with about $500 charged off.

[Cleaningitup2016]

bump

[FireMedic1]

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@Cleaningitup2016 wrote:

So upon doing some digging, one of the charged off SYNC accounts was sold to Midland Credit.

So I call Midland credit and they told me they deleted the account from their files some time ago.

They told me they no longer have any rights to it.

So I call Synchrony and they said even if they deleted it, they still have to report it.

What? If they sold the debt, and the person who bought it no longer has it, then someone still needs to be responsbile. Because NOW there is NO WAY TO SETTLE this account! I have no CA to settle with for SYNC to mark the account as paid with!

They did give me an address to send a dispute into, wish me luck.

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Any charge off and sent to collections should show 0 balance and charge off. Which will remain for 7 yrs. Might have been sold to another CA. Check your reports. Be careful about bumping threads BTW

[Cleaningitup2016]

I am getting pretty annoyed that the debt consolidation loans I looked into with local banks..I was told I would not qualify due to my credit.

Um..usually people with high balances seeking CON loans don't have very good credit.

Only other options would be places like OneMain, but their APR can run higher than the APR on my current cards.

I am trying reallly hard to fix all this. I admit I screwed up and have become "sober" in terms of credit, but there are a ton of roadblocks, and I am starting to see why people just let everything sit and rot for 7 years. Trying to repay your debts/actions in the past with creditors is like pulling hens teeth.

It is also completely ridiculous that paid/unpaid collections report the same in Fico land, this gives consumers NO INCENTIVE to pay these balances off to improve their credit. So in the end the original creditors get bent.

[Cleaningitup2016]

I got a letter in the mail that my Hot Topic Credit Card was closed.

Comenity is another trash lender that SP's all the time and lowers balances or outright closes your account.

I had a $275 balance with them, I paid it off, they CLD down to $100 then outright CLOSED it a few months later.

I logged in today and my Fico per my EX monitoring dropped 10 points because of this.

Wonderful...

[Anonymous]

Yes, it’s Comenity’s fault that you got in over your head. 

They are just taking steps to lower their risk, you really can’t blame them for that, you have a very risky credit profile. 

But your score drop was from something else. Account closures themselves don’t cause a score drop unless they offset your utilization to the point that it bumps you to another threshold. It seems very unlikely that $100 made your situation worse so check and see if one of your other accounts that is damaging your score updated. That will drop the score every single time. 

[Anonymous]

Your credit profile is very similar to mine when I started my rebuild. I had around 8 or more charge off credit cards, 6 reported collections, 2 closed credit cards with NFCU with $20k balances, and on and on.

First, take a deep breath. It’s easy to feel defeated when you’re starting a rebuild, but frustration won’t get you anywhere and getting an attitude with the companies your asking favors of also won’t help.

Second of all, take responsibility. You are the only one responsible for the debts that you’ve incurred. Even if you had a crappy situation that landed you in debt, it’s still on you for not having a savings for emergencies. Interest sucks to pay, but you knew in advance what it would be and agreed to it. It took me a LONG time to just suck it up and own my mistakes. But doing so is going to get you so much further than fighting all your creditors on whose fault it is.

It sounds like you’ve already made an arrangement with NFCUs PFM department. They are awesome and will help you A LOT. Do not burn Navy Federal, they will be good to you if you are willing to keep working with them.

When a credit account gets charged off, one of two things will happen. The account will remain owned by the OC but a CA will collect on behalf of them. In this instance, your CO will report a balance. Other option, they sell your debt to a CA. CA now owns the debt so you cannot pay the OC and OC will report a 0 bal. OC will report until it ages off AND the CA will report. So the only way to get to OC off your credit if they have already sold the debt is to send GW. They have absolutely no obligation to remove the reporting and many won’t. If the CA owns the debt, some will do PFD and some will not. Midland for example will delete 2 years after the DoFD if the account is PIF or settled.

So first things first, establish a savings. Don’t worry about the COs or CAs until you have a savings. And definitely do not open any new lines of credit. Once you’ve established that, start working on paying COs still owned by the OCs and PFD with the CAs. First work with the ones willing the negotiate, many will still PFD with a settlement offer. This will save you a lot of money. Then move on to the GW letters to the OCs who have sold the debt. I will forewarn you that Synchrony is not an easy one to get off your report. Once you’ve got the COs and CAs removed you can start sending GW letters to remove any remaining lates. During this time it is critical to make any other payments on time.

By that time you should see a good increase in your score and will likely qualify for a better card to get some positive history going...but this should not be your focus right now.

This process will take a long time. Especially if you don’t have large chunks of money to throw at this debt. Try to be patient.

[gdale6]

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@Cleaningitup2016 wrote:

I am getting pretty annoyed that the debt consolidation loans I looked into with local banks..I was told I would not qualify due to my credit.

Um..usually people with high balances seeking CON loans don't have very good credit.

Only other options would be places like OneMain, but their APR can run higher than the APR on my current cards.

I am trying reallly hard to fix all this. I admit I screwed up and have become "sober" in terms of credit, but there are a ton of roadblocks, and I am starting to see why people just let everything sit and rot for 7 years. Trying to repay your debts/actions in the past with creditors is like pulling hens teeth.

It is also completely ridiculous that paid/unpaid collections report the same in Fico land, this gives consumers NO INCENTIVE to pay these balances off to improve their credit. So in the end the original creditors get bent.

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Not here to defend all things Fico but the incentive is to pay them off to stop monthly updating that keeps your Fico score depressed, its a weapon used by the creditor that is owed money to keep you from obtaining new credit until you settle with them. An OC that sells an account must report 0 balance as others have stated and then the monthly updating stops per CRA rules. If you dispute the account and it updates, guess what happens then... As far as Synch having to report that is hogwash, the law doesnt require anyone to report anything what it requires is they report factual accurate information.