@Anonymous wrote:Hello,
So much great info in this forum.
My wife and I are starting the process to rebuild our credit so that we can purchase a home. My question is: I have a car ins collection that I wasn't aware of because they charged me part of a month after I got new ins. It is greater than a year in collections. It is only $162. Should I just call the CA and pay the acct in full or try calling the original creditor and ask for a PFD?
My second question is regarding my student loans that are in default. I have multple loans that total about $31k. $25k are direct loans and $6k are FFEL. I will be getting a work bonus at the end of this month that should cover the $6k. Should I pay this off so that these loans are paid and closed or should I rehab or consolidate all these loans together? 6/2015 DOFD
I currently have 2 secured credit cards: Discover IT with a $200 CL and $500 CL from my credit union. Both of these cards with <10% UTL. Should I apply for another secured card?
Thank you for your advise and help in advance.
ER
If you consolidate the loans, the default status will stay on your report and your monhtly payments will be counted against your dti. If you can rehab them, it will be 9+ months before your report shows that you are no longer in default. I don't believe you can get a mortgage while in default but I could be wrong.
I would go the pfd route but if you are not getting a mortgage for another year then if they refuse and you pay it anywyas, it won't hurt you so bad.
