No credit card required
Browse credit cards from a variety of issuers to see if there's a better card for you.
I contacted a CA after sending a goodwill request. The account is for an old Credit One Bank card that was settled for 1/2 of the full balance over a year ago. The CA said that they only delete if the account was paid in full. I asked if they would delete if I paid the other 1/2 of the balance and I was told yes. I asked the CA to draft a letter proposal first before I agree to this. This account is scheduled to fall off in the fall of 2014. Is this a good idea to pay the remaining balance now for deletion? I only have 1 other medical CA account scheduled to fall by the end of this year (2013) and an old GM Financial account scheduled to fall off next year as well.
Thank you
tld409
That depends entirely on what you want in the end. Are you looking to raise your score, get a mortgage etc?
If you want it removed, and you can pay it, the by all means, do it.
Are the remaining negative TLs paid or unpaid? Paid and unpaid collections are scored the same by FICO. As a collection.
I guess I should have provided more info# about my situation. I am just trying to improve my credit in general; however, I do plan to apply for a mortgage at the end of this year or early next year.
In addition to this negative item, I have 1 med collection (paid in full) due to fall off in 08/13 and the GM Financial auto loan paid in full (July 2007) after being 60 days late; account is incorrectly reporting a 90 day late and charge off with paid off status. I am working to have this corrected. I have no other negative accounts.
The following are positive accounts I rotate use with all cards and consistently keep utilization at 9% but occasionally I am up to 14% which I am sure is OK. I am planning on gardening for the remainder of the year.
Positive tradelines:
Macy's (oldest account): 2500 limit (0 balance)
Capital One (opened 03/12): 500 limit (0 balance)
JCP (opened 04/12): 600 limit (0 balance)
First Savings CC (opened 06/12): 600 limit (0 balance)
AMES Green (opened 10/12): NPL
Discover More (opened 10/12): 1200 limit (0 balance)
Walmart (opened 10/12): 600 limit ($50 balance)
Citi Simplicity (opened (01/13): 4800 limit ($45 balance)
Auto loan (opened 07/07): will be paid in full 03/13 - no negative items
2 Personal Loans with local finance (03/12): $2500 paid off 12/12 and (12/12): $3,600-plan to pay off by 03/14
Thank you
@tld409 wrote:I contacted a CA after sending a goodwill request. The account is for an old Credit One Bank card that was settled for 1/2 of the full balance over a year ago. The CA said that they only delete if the account was paid in full. I asked if they would delete if I paid the other 1/2 of the balance and I was told yes. I asked the CA to draft a letter proposal first before I agree to this. This account is scheduled to fall off in the fall of 2014. Is this a good idea to pay the remaining balance now for deletion? I only have 1 other medical CA account scheduled to fall by the end of this year (2013) and an old GM Financial account scheduled to fall off next year as well.
Thank you
tld409
IMHO, if you can pay in full now to get it deleted go for it, unless it's such a huge amount that it's worth letting it age off.
In my opinion, such a process borders on the improper.
Whether you settled the debt for the full amount, or they accepted less, the debt was satisfied. You have no debt that they are authorized to collect, period.
It kinda smells of a payoff to delete accurate reporting. That raises bushels of legal issues, not the least of which is assertion by another of discrimination if they are denied a payoff under similar circumstances. If I were a debt collector and chose to conduct such a practice, I would not leave a paper trail.......
@p- wrote:
@tld409 wrote:I contacted a CA after sending a goodwill request. The account is for an old Credit One Bank card that was settled for 1/2 of the full balance over a year ago. The CA said that they only delete if the account was paid in full. I asked if they would delete if I paid the other 1/2 of the balance and I was told yes. I asked the CA to draft a letter proposal first before I agree to this. This account is scheduled to fall off in the fall of 2014. Is this a good idea to pay the remaining balance now for deletion? I only have 1 other medical CA account scheduled to fall by the end of this year (2013) and an old GM Financial account scheduled to fall off next year as well.
Thank you
tld409
IMHO, if you can pay in full now to get it deleted go for it, unless it's such a huge amount that it's worth letting it age off.
Thanks p-. The amount would be a little of $300 which is the half of what I settled for previously.
@RobertEG wrote:In my opinion, such a process borders on the improper.
Whether you settled the debt for the full amount, or they accepted less, the debt was satisfied. You have no debt that they are authorized to collect, period.
It kinda smells of a payoff to delete accurate reporting. That raises bushels of legal issues, not the least of which is assertion by another of discrimination if they are denied a payoff under similar circumstances. If I were a debt collector and chose to conduct such a practice, I would not leave a paper trail.......
If that is the case, why then, in many, many posts, are the OC/CA trying to collect the remainder of the balance?
@tld409 wrote:
@p- wrote:tld409 wrote:This account is scheduled to fall off in the fall of 2014. Is this a good idea to pay the remaining balance now for deletion?IMHO, if you can pay in full now to get it deleted go for it, unless it's such a huge amount that it's worth letting it age off.
Thanks p-. The amount would be a little of $300 which is the half of what I settled for previously.
For three hundred bucks, I'd say it's worth it. Getting your report spotless almost a year sooner has it's own payoff. Odds are good you'll make the money back in interest savings in your next loan or app. Plus you'll look a lot better in manual reviews.
As far as the legality of them offering that; who cares? As long as you're not breaking the law, their agreement with the CRA is their issue.
If you have the cash and it's not a hardship to get it done, go for it. Just make sure you get it in writing.
@p- wrote:
@tld409 wrote:
@p- wrote:tld409 wrote:This account is scheduled to fall off in the fall of 2014. Is this a good idea to pay the remaining balance now for deletion?IMHO, if you can pay in full now to get it deleted go for it, unless it's such a huge amount that it's worth letting it age off.
Thanks p-. The amount would be a little of $300 which is the half of what I settled for previously.
For three hundred bucks, I'd say it's worth it. Getting your report spotless almost a year sooner has it's own payoff. Odds are good you'll make the money back in interest savings in your next loan or app. Plus you'll look a lot better in manual reviews.
As far as the legality of them offering that; who cares? As long as you're not breaking the law, their agreement with the CRA is their issue.If you have the cash and it's not a hardship to get it done, go for it. Just make sure you get it in writing.
Just waiting for the letter agreement to proceed. Thanks again!
@guiness56 wrote:
@RobertEG wrote:In my opinion, such a process borders on the improper.
Whether you settled the debt for the full amount, or they accepted less, the debt was satisfied. You have no debt that they are authorized to collect, period.
It kinda smells of a payoff to delete accurate reporting. That raises bushels of legal issues, not the least of which is assertion by another of discrimination if they are denied a payoff under similar circumstances. If I were a debt collector and chose to conduct such a practice, I would not leave a paper trail.......
If that is the case, why then, in many, many posts, are the OC/CA trying to collect the remainder of the balance?
I was wondering the same thing myself.