settlement HELP

[Anonymous]

  Where can I find someone to call to make a settlement offer on a car loan that I owe $10,000 dollars on, but I would like to make a settlement offer for $4,500 and they wont take that amount they said they would need 80% of the $10,000 dollars to settle.

 This bill is the only thing that's holding my credit score from going up to buy a home please help I need it

[Anonymous]

Not sure what you are asking?

Is this a car that has already been repossessed??  Are we talking about a judgment after a repo?

It sounds like you owe $10k, and you have made a settlement offer of $4.5k to settle the debt.  Bottom line is that they do not have to accept anything less than the full amount to retire the debt.  You can offer a higher amount, or hold out.

Be aware that the creditor may have other remedies to get their money, so tread carefully.

[Anonymous]

No it was not a repo. I give the car back willing,and the amount that is showing on my credit report is now showing it is a  changed off  account does that help any by offering a settlement.

Message Edited by lovesista on 06-02-2009 09:04 PM

[Anonymous]

With a debt of this size, I am sure most LO would require it to be paid or settled before proceeding with a mortgage.

However, I wouldn't expect much of an increase as installment util plays a small role in your util points. But, you may see some increase.

You can try to negotiate a settlement in writing, other than that, the main company would be who you'd call.

[Anonymous]

The bad thing is they never sold my account the credit union still has the account after 3 years would you no the reason they have not sold it yet.

[Anonymous]

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lovesista wrote:
The bad thing is they never sold my account the credit union still has the account after 3 years would you no the reason they have not sold it yet.

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Some do not ever sell.

It is probably actually better for your score/reports that they haven't sold. Then you'd have the OC's entry and a CA's entry.

[AndySoCal]

Just in case you are not aware settled account is considered derogatory. I would be very careful on what you do to resolve this account.  Also, what is the current status of the account and when was it last reported ?  Also, if the account is derogatory bring this account forward in time I.E. settling now can lower your score. I am also concerned about how a settled account on an auto loan will be interpreted by some underwriting systems.  It could be interpreted as a paid repossession. I hope this helps

[Anonymous]

I would be very careful on what you do to resolve this account.

MY? Do you think I should get a pro to handle this kind of settlement offer

Also, what is the current status of the account and when was it last reported

Its a charged off account as of 5/1/07

It could be interpreted as a paid repossession

I give the car back willing and it don't show up as a repo on my credit report

The only reason Im trying to settle because I went to the bank and had my credit report looked at by a loan officer and she had told me I needed to make a settlement offer if I wanted to buy a home by sept of this year

PLEASE LET ME NO WHAT IS THE BEST WAY

[Anonymous]

It sounds to me like you are not trying to negotiate a PFD.  That is good, because it sounds like it would be very difficult to get one.

Since you're just negotiating a settlement, the idea is to get them to take the least amount of money in order for the account to be "settled".  So they said no.  But what they really said is that $4,500 is not enough.  Now you have to decide if you want to make another, higher offer.

They are not obligated to take what you offer.  And making a partial payment without negotiating how it will be accepted could have some negative effects.  So just keep making offers.  And maybe they'll accept one.

They only alternative to getting them to settle for less than the full amount, is to actually pay the full amount.

You just have to decide how you want to handle this.

[Anonymous]

So today I talked to the company about the settlement offer and they said they will not go lower then $6,000and that  I can pay them $5,000 now and make the rest of the balance in payments if I decide to pay that amount what are the steps I need to do first.