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Rebuilding History

vlv_
Member

Rebuilding History

Greetings all,

I am in need of advice on what to do next regarding rebuilding my credit. So the following goes like this. 
I have 4 open accounts

- Charge card (Amex)

- 3 student loans

I have 4 closed accounts

- 3 credit cards (charge offs) (2 closed back on 2017 & 1 on 2016)

- 1 auto loan (charge off last reported in 2019)

I have 1 collections

- Paid off

 

30 late payments all from the school loan. Also, some of it is NOT accurate.

 

What would be my next move? Any input would be HIGHLY appericated. Thank you.

Message 1 of 11
10 REPLIES 10
Remedios
Moderator

Re: Rebuilding History


@vlv_ wrote:

Greetings all,

I am in need of advice on what to do next regarding rebuilding my credit. So the following goes like this. 
I have 4 open accounts

- Charge card (Amex)

- 3 student loans

I have 4 closed accounts

- 3 credit cards (charge offs) (2 closed back on 2017 & 1 on 2016)

- 1 auto loan (charge off last reported in 2019)

I have 1 collections

- Paid off

 

30 late payments all from the school loan. Also, some of it is NOT accurate.

 

What would be my next move? Any input would be HIGHLY appericated. Thank you.


Hi and welcome to the forums

 

Unfortunately, the answer is, start paying COs. 

COs count towards your utilization,  but you dont have any revolving credit accounts (charge cards are not included in utilization calculations). 

That is your first score killer.

Second one is, any CO that's reporting is keeping your scores suppressed even more. 

Third, some of your COs are recent, so if you are still within SOL, there is always potential for lawsuit. That car loan is definitely within SOL.

You should start making calls and see if your former creditors will accept settlement. It's better if you start paying voluntarily than via bank account liens and wage garnishment.

 

Once you start making some progress, you should attempt to get a couple of secured cards and let them age. 

I wouldn't start right now, because paying off COs and loan really takes precedence given the recency of those derogs. 

Which cards got charged off and what are the amounts? 

When someone asks you *What's wrong*, and you're not sure if you want to start listing it in alphabetical or in order of importance.
Message 2 of 11
vlv_
Member

Re: Rebuilding History

Hey! Thank you truly appericate it. 

 

I was afraid that would of been the answer but none the less thank you. My question is some of them say " paid off ". How would I go about that? The ones that are paid off, how can I fix the late payment history? Is there any other alternative?

 

Chase - $4K

Citi - $700

PayPal - $100

 

What does " charged off as bad debt / canceled by credit grantor " mean? Also, " payment after charge off/collection - paid profit and loss " ?

Message 3 of 11
gdale6
Moderator

Re: Rebuilding History


@vlv_ wrote:

Hey! Thank you truly appericate it. 

 

I was afraid that would of been the answer but none the less thank you. My question is some of them say " paid off ". How would I go about that? The ones that are paid off, how can I fix the late payment history? Is there any other alternative? With these paid off accounts if they are COs that are paid you want to begin a GW campaign to have the whole TL removed from your CRs if they are individual lates in an otherwise good account you want to ask for the lates to be commuted or forgiven so you keep the good TL.

 

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/GW-letter-Q-amp-A-Examples-and-GW-Success-Sto...

 

Chase - $4K

Citi - $700

PayPal - $100

 

What does " charged off as bad debt / canceled by credit grantor " mean? It means the account was written off as bad debt and closed by the issuer

 

Also, " payment after charge off/collection - paid profit and loss " ? Means that you paid or settled it after it became a CO and they recovered their money or some of it. This is much better to human underwriting eyes as it shows you took care of it rather than just letting it remain unpaid. Welcome to my Fico Smiley Happy


 

Message 4 of 11
vlv_
Member

Re: Rebuilding History

@gdale6 

Thank you for the reply.

 

PP states " canceled by credit grantor " with a $0 balance, 3 late payments and $100 credit limit. Closed on 2016.  

Citi states " charged off as bad debt / canceled by credit grantor " with a $706 balance, no late payments, $500 credit limit. Closed in 2017.

Chase states " charged off as bad debt / canceled by credit grantor " with a $4,752 balance, no late payments, $4,000 credit limit. Closed in 2017.

 

What would be best to go about this kind of situation? Call and settle the debt?

 

School loan: Navient

3 open accounts / 1 closed

Account 1: 9 late payments (balance of $1,824)

Account 2: 11 late payments (balance of $1,504)

Account 3: 7 late payments (balance of $607)

Account 4: 11 late payments (paid off)

 

Being that the (1) account is paid off can I have the payment history removed? Would paying off my student loan completely improve my credit score?

 

Chase Auto:

States " payment after charge off/collection/paid profit and loss " with $0 balance, no late payments, closed in 2019.

 

Should I have that removed as well? 

 

Collections:

CapOne states " settled " closed account. Paid off.

 

Still shows as collections. Can I have that removed? I did notice once I paid it off my credit score did bump up.

 

Thank you for the welcome! 

Message 5 of 11
gdale6
Moderator

Re: Rebuilding History


@vlv_ wrote:

@gdale6 

Thank you for the reply.

 

PP states " canceled by credit grantor " with a $0 balance, 3 late payments and $100 credit limit. Closed on 2016.  

Citi states " charged off as bad debt / canceled by credit grantor " with a $706 balance, no late payments, $500 credit limit. Closed in 2017.

Chase states " charged off as bad debt / canceled by credit grantor " with a $4,752 balance, no late payments, $4,000 credit limit. Closed in 2017.

 

What would be best to go about this kind of situation? Call and settle the debt? Yes settle it ASAP so it stops updating and can begin to age back in time also want to clear them off your utilization percentages.

 

School loan: Navient

3 open accounts / 1 closed

Account 1: 9 late payments (balance of $1,824)

Account 2: 11 late payments (balance of $1,504)

Account 3: 7 late payments (balance of $607)

Account 4: 11 late payments (paid off)

 

Being that the (1) account is paid off can I have the payment history removed? No they are not going to do that. Would paying off my student loan completely improve my credit score? You need one open instalment loan for Fico purposes and there isnt a lot of impact to Fico with instalments though there is some, most of it is in regards to revolving credit lines...

 

Chase Auto:

States " payment after charge off/collection/paid profit and loss " with $0 balance, no late payments, closed in 2019.

 

Should I have that removed as well? No, they wont remove that

 

Collections:

CapOne states " settled " closed account. Paid off.

 

Still shows as collections. Can I have that removed? I would not want it to update and just leave it alone. You can try for a GW deletion of the TL at some point, the older the CO date with Cap-1 the more chance of GW success.

 

I did notice once I paid it off my credit score did bump up.

 

Thank you for the welcome! 


 

Message 6 of 11
vlv_
Member

Re: Rebuilding History

@gdale6 

How can I settle with PayPal? Balance is at $0 and its a closed account.

Message 7 of 11
gdale6
Moderator

Re: Rebuilding History


@vlv_ wrote:

@gdale6 

How can I settle with PayPal? Balance is at $0 and its a closed account.


You cant, they sold it to someone else and you will have to settle with the new owner.

Message 8 of 11
vlv_
Member

Re: Rebuilding History


@Remedios wrote:

@vlv_ wrote:

Greetings all,

I am in need of advice on what to do next regarding rebuilding my credit. So the following goes like this. 
I have 4 open accounts

- Charge card (Amex)

- 3 student loans

I have 4 closed accounts

- 3 credit cards (charge offs) (2 closed back on 2017 & 1 on 2016)

- 1 auto loan (charge off last reported in 2019)

I have 1 collections

- Paid off

 

30 late payments all from the school loan. Also, some of it is NOT accurate.

 

What would be my next move? Any input would be HIGHLY appericated. Thank you.


Hi and welcome to the forums

 

Unfortunately, the answer is, start paying COs. 

COs count towards your utilization,  but you dont have any revolving credit accounts (charge cards are not included in utilization calculations). 

That is your first score killer.

Second one is, any CO that's reporting is keeping your scores suppressed even more. 

Third, some of your COs are recent, so if you are still within SOL, there is always potential for lawsuit. That car loan is definitely within SOL.

You should start making calls and see if your former creditors will accept settlement. It's better if you start paying voluntarily than via bank account liens and wage garnishment.

 

Once you start making some progress, you should attempt to get a couple of secured cards and let them age. 

I wouldn't start right now, because paying off COs and loan really takes precedence given the recency of those derogs. 

Which cards got charged off and what are the amounts? 


Update.

So I got to pay off all my COs but they are still showing utilization on them. Any reason why? Also, I disputed them because of that reason as well as my student loans for inaccurate payment history. Its been well over 30 days at this point. During this time I got approved for a Captial One credit card (which isnt showing on my report). How long does that take? Anything I can do at this point?

Message 9 of 11
LaHossBoss
Valued Contributor

Re: Rebuilding History


@vlv_ wrote:

@Remedios wrote:

@vlv_ wrote:

Greetings all,

I am in need of advice on what to do next regarding rebuilding my credit. So the following goes like this. 
I have 4 open accounts

- Charge card (Amex)

- 3 student loans

I have 4 closed accounts

- 3 credit cards (charge offs) (2 closed back on 2017 & 1 on 2016)

- 1 auto loan (charge off last reported in 2019)

I have 1 collections

- Paid off

 

30 late payments all from the school loan. Also, some of it is NOT accurate.

 

What would be my next move? Any input would be HIGHLY appericated. Thank you.


Hi and welcome to the forums

 

Unfortunately, the answer is, start paying COs. 

COs count towards your utilization,  but you dont have any revolving credit accounts (charge cards are not included in utilization calculations). 

That is your first score killer.

Second one is, any CO that's reporting is keeping your scores suppressed even more. 

Third, some of your COs are recent, so if you are still within SOL, there is always potential for lawsuit. That car loan is definitely within SOL.

You should start making calls and see if your former creditors will accept settlement. It's better if you start paying voluntarily than via bank account liens and wage garnishment.

 

Once you start making some progress, you should attempt to get a couple of secured cards and let them age. 

I wouldn't start right now, because paying off COs and loan really takes precedence given the recency of those derogs. 

Which cards got charged off and what are the amounts? 


Update.

So I got to pay off all my COs but they are still showing utilization on them. Any reason why? Also, I disputed them because of that reason as well as my student loans for inaccurate payment history. Its been well over 30 days at this point. During this time I got approved for a Captial One credit card (which isnt showing on my report). How long does that take? Anything I can do at this point?


Especially now, it seems that CRAs have been taking awhile processing requests. The creditor themselves take 30-60 days and then sometimes it takes longer for the CRAs to update. It took 6 weeks for me to get an update. If the CRAs haven't received the info yet, it will just come back verified in a dispute. I would reach out to the creditors first to see if/when they submitted the updated info.

 

Disputing SL lates are the worst. They usually start at 90d reporting lates and when disputed they sometimes will add additional lates on (the 30d and 60d lates). Be careful with that. I would reach out to the SLs directly, first with any proof of incorrect payment history so they know what needs to be corrected, if innacurate.

 

Good luck!

 

Oh and with Cap One, it took until the second statement cut to start reporting for me, but only the first statement cut for my SO. They can be a bit all over the place, so don't expect it to be immediate. Some creditors report a new account the day it opens, but not with Cap One from any of the DPs I have read or from personal experience.

 

I know it is hard to be patient, but you have come this far! Just hang in there, it does take a bit of time for things to start moving on your CRs!




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