PFD Credit Collection Services and Portfolio Recovery

[Blu617]

Hello all,

I'm new to the forums and I began my rebuild around January of 2021. During the month of December 2020, My Experian credit score was 490 and has since improved to 604. I still have a long way to go and a lot learn but I'm working on it and things are slowly improving. 

I began with 13 items in Collections. Thus far, I have already paid off a handful of them. Such as my former Credit One card which was being handled by LVNV and states that they delete the trade line by policy once the account is PIF.

I came across a thread titled "Collection agencies that do PFD" and I learned from that thread that most of my other accounts, 2 with Portfolio Associates will also delete per the statement on their website. I have 6 accounts in collections that are being held by Credit Collection Services but I was wondering if this an automatic deletion based on their policies or if I would need to go the route of snail mail to request it.

Furthermore, Of the 6 accounts being held by Credit Collection Services, I have recently PIF 3 of them. Is it to late to have those accounts deleted? Will they be deleted automatically? I have another account which I will PIF but have divided it into 3 payments, should I stop making payments and negotiate PFD then PIF? 

Upon close inspection of my 3B report via the MyFICO app I had discovered that one of the accounts being listed by CCS is a duplicate. There are two listings for the same account, one listing reports to TransUnion and Experian while the other reports to all three. What is the preferred method of disputing a duplicate account? Via the bureau or the collections agency?

I haven't really been interested in settling on the debts, I have paid or will pay any debt that I owe in full. Now of course if I can save some money and have the same end result than I wouldn't mind settling but I also don't mind PIF if that will put me in a better position and it just feels right that if I owe the debt than I owe the debt in full. 

I appreciate any future responses. Thank you.

[Blu617]

The other thing I don't know if anyone can answer is that I have three accounts in collections which appear to be unknown. My 3B report on MyFICO lists them simply as "collection" and then when you open the specific collection it lists a date, an amount and doesn't appear to have any further information. What can I do about these? I don't even know who to call to attempt to pay this

[Anonymous]

For the duplicate account you would want to dispute it with the CRAs, TU and EX. 

As for the accounts that's not showing up, go to Annual Credit Report and pull a hard copy of your CR, it's free. During the pandemic you can check all 3, once a week. Hopefully you'll find that information on your reports. 

Now for Credit Collections Services. How recently did you PIF the 3 accounts? Did you do it online? A quick google search and MF reading shows they will PFD and that their website with your file# should show a statement regarding deletion once paid in full. I'd call them. Ask them about the 3 accounts you've paid in full and if they've started the process to have them removed. It may take 30-45 for it to reflect in your reports once they have confirmed the PFD. 

Success story 1) https://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/Credit-Collection-Services-will-PFD/td-p/456...

Success story 2) https://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/CCS-Credit-Collection-Service-PFD-Pay-for-De...

Success story 3) https://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/Credit-Collection-Services-verbal-PFD-UPDATE...

Edit: Portfolio Recovery Associates per their website - 

• "If we are credit reporting your account, it will be considered paid-in-full or paid-in-full for less than the full balance after your final payment is successfully posted. Within approximately 30 days of your final payment successfully posting, we will request the credit reporting agencies delete our tradeline related to your account from your credit bureau report"

[Blu617]

Well that's exciting, that's 8 accounts that sound like there's a high probability of being deleted from my report. 9 if you include the duplicate. Thank you for the response

[Rlupo810]

I have a progressive bill with CCS and I read these forums that they are open to PFD, I called in and the rep claimed that it is something they used to do but could not anymore, Is this true or do I need to call in again and speak to someone else?

[OmarGB9]

I'm not too sure, but I suggest calling again and trying to speak to someone else.

[Rlupo810]

I waited about a week and just called CCS back today, They refused to remove even with a payment. They just kept reading off a line about the credit laws requiring them to report and said they cannot/will not remove. I am not sure what to do at this point as I am trying to prepare to buy a house in 2022 and I need to clean up my reports.

[OmarGB9]

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@Rlupo810 wrote:

I waited about a week and just called CCS back today, They refused to remove even with a payment. They just kept reading off a line about the credit laws requiring them to report and said they cannot/will not remove. I am not sure what to do at this point as I am trying to prepare to buy a house in 2022 and I need to clean up my reports.

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If they refuse to remove, then unfortunately all you can do is simply pay it and let it age. Mortgage UW still allow approvals even with collections showing, so long as they're paid.

[Anonymous]

@OmarGB9 

Good morning!  Question for you regarding the mortgage question:

Regarding a charge-off or collection that is on your credit report when applying for a mortgage - does it make any difference if said "baddie" is "paid-in-full" or "partial payment"?

I have several publicly available sources (from YouTube) that state that mortgage lendors look far more favorable on a CO/CA that is "paid in full" vs. "partial payment".

Any ideas/experience with this?

Thank you!

[OmarGB9]

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@Anonymous wrote:

@OmarGB9 

Good morning!  Question for you regarding the mortgage question:

Regarding a charge-off or collection that is on your credit report when applying for a mortgage - does it make any difference if said "baddie" is "paid-in-full" or "partial payment"?

I have several publicly available sources (from YouTube) that state that mortgage lendors look far more favorable on a CO/CA that is "paid in full" vs. "partial payment".

Any ideas/experience with this?

Thank you!

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I don't have any personal experience with this, but I just want to say that ANY lender (mortgage or otherwise) would look more favorably on a "paid in full" vs "settled for less." However, that doesn't mean you can't still get a mortgage  if you've settled for less.

Based on numerous DPs I've seen on here, there have been plenty of people who have been approved for a mortgage with collections/COs still showing, even if they were settled for less. What matters to banks more than anything is that it's paid. You may be asked to explain why you settled for less, but again, most times that doesn't seem to be a deal breaker.