Trying to bounce back, read a ton of posts just a few questions

[Anonymous]

Evening All,

So glad I found this site, everyone seems so helpful!  Wish I would've found it sooner, may have made some mistakes.

Long story short, a few years I had a string of 3 layoffs in 4 years and just got crushed by debt.  For awhile I simply ignored it, very smart move, I know.  I held a few jobs to pay my mortgage, car insurance and keep food on the table, never paid my debts.  Oddly enough during the pandemic I got a okay paying full time position along with my old bartending gig (for the time being).  Working 60+ hours a week, I wanted to become debt free and fix my credit score.

As of 2 months ago, I had 2 collections PRA and Cav.. 4 COs that seem to be with the original creditors and some decent student loan debt.  Judging from other silly websites, my Credit Score is currently around 613-640.  I am having my first child in about a month and would like to purchase a home in about 5 years, currently own a condo.  

Paid off both collections 1st for about 40% of what was owed.  Reading a posts on here, think that wasnt the best route...not sure.

The 4 COs are Amex for $2000 ($1600 cl), Chase Amazon for $2440 ($2000 cl), Discover $5800 ($4800 cl) and BOA $5800 ($5000 cl) 

Amex has been paid in full $2000, still looks like its on my CR and haven't asked for an Optima because...well the CO was from an Optima.  Not sure they would give me a 3rd chance...what do you think?  Wanted to pay in full because I'd like to have a relationship with them again.

Questions start now.  The 3 remaining COs... Sounds like Chase and Discover are nasty about removing the COs from your account.  I wanted to try to get them to agree to give me a Paid in full for my original CLs, $2000 and $4800 respectively since the above balance were just late fees, overlimit fees from the late fees and interest.  Is that a realistic option, would they go for that?  Since they probably wouldn't remove my CO, does it matter that I paid my original CL or should I try to settle for less?  Part of me would really like to at least pay what I charged on the cards, seems like the right thing to do...but if it isnt going to help my score, would rather just get as much paid as fast as possible.  

Another question is, other than the Discover, the Chase, BOA and Amex(paid) are from 2014.  Again, this is my debt, I own up to it...but is this just gonna fall off in 18 months-ish?  Will paying it off kinda re-open it?

This is all very confusing, thanks for reading and thank you more for any advice you can provide!

AJ

[OmarGB9]

First off, welcome to the forums! Glad you found us and hopefully we can be of some assistance on your credit journey.

Now onto your questions:

Why do you think paying off both your collections wasn't a smart move? In this case it actually is because both PRA and Calvary will delete upon payment (even if you settled) so good job on that! Just give it time for their request for deletion to go through and the CRAs to process it, meaning it could take up to 90 days once everything is said and done (usually only takes about 30-60 though).

If you defaulted on an Optima card, I'm not sure that they'd offer it a second time...haven't heard of that particular scenario on here. I suppose all you could do is ask? Worst they can do is say no. At least you made them whole again, so maybe after 10+ years they'd maybe take you back if not? I don't know, I'm merely speculating.

As for Chase and Disco granting a PFD on COd accounts, it's unfortunately not likely. Best option would probably be to pay in full or settle and then once they're paid off, try GW Saturation technique (do a search on the forums). But even that's not guaranteed. However you decide to pay them, whether in full or settling for less, it would still help your score to an extent because the COs would no longer be hurting your utilization as maxed accounts AND they'd stop updating monthly, meaning they can age and you'll slowly regain points over time. But keep in mind if you settle for less, Chase and Discover won't let you back in for A LONG time.