Rebuilding: need best outcome for my buck..help please!

[pruittc1]

Hi all,

so I have to rebuild as fast as possible so I'm hoping to pull the combined experience from this community.

first: I have two charge off cards that are making my utilization look extremely high. The company is offering to let me pay a settlement for less than owed and will report that. Should I take the settlement offers to get accounts closed or is there benefit in paying in full?

second: I have 7 collections!🫣 Jefferson, LVNV and General something. I can't cover all 7 at this time but I can chop away at maybe 3. Will that help or not because I will still have the higher ones?

third: I have no credit cards or open accounts other than my student loans that are paid as agreed no missed. I just got one from Earniva for $500. Should I try for another card probably secured?

thanks all I know it's a lot but any advice is soooo greatly appreciated 

[FicoMike0]

If you settle your cos, they will then report 0, stopping the utilization impact.

For best scores, you should have three bank cards, secured ok, do azeo,  keep reported total utilization under 9%, individual under 29%.

If you have no open installment loan, a ssl should help.

[myscoresucks2]

How old are these debts? Your states SOL on debt? Can they sue you?  What are the amounts you owe? The more info you can give us the more we can help you. 

[pruittc1]

Thanks so much for the reply. I will try that. I am even getting denied for secured cards how does that happen?! 

sorry if dumb question but what's a ssl? 😅

[pruittc1]

Also. If I settle the CO for less than owed is that worse than just leaving it alone? Someone told me that if I couldn't pay in full don't accept settlements because they report settled for less than owed and that would hurt my score more? Did I misunderstand?

[pruittc1]

Sure 

most are from 2023 and 2024. Two are for a little more than $450. They are with LVNV. Then Jefferson collection has one that they are offering to settle from a Verizon account for half owed so the settlement offer is $314 but I was told if I settle for less than owed and they report that way it will hurt scores worse than leaving them alone. Not sure if true. I have  a $78 one from Geico. There are two higher ones that are for $3700 and $2200. Those haven't offered to settle.  I also have two charged off cap one cards that aren't showing as collections and they are willing to settle for less than owed. Like half! 

[FicoMike0]

Ssl is share secured loan. Look it up on here. If you still have questions, ask.

If you settle a co for less, it's still settled. Your debt becomes zero, that's a good thing. 

I don't know much about secured loans. A lot of banks and credit unions have them. Stick with those that offer preapproval, don't

waste a hard pull. I'd stick with those I haven't burned. Capone is an exception, they seem to be forgiving.

Nfcu offers one with preapproval and everyone loves them. You might join, if elgible.

Here's a link on secured,

https://www.doctorofcredit.com/credit-cards/secured/

[pruittc1]

Thank you 🙏. I will try the settlements offered and the secured accounts. Much appreciated!

[FicoMike0]

Look up penfed ssl. Should get you some points in two months max. Post you questions, if interested.