How much do you think my score will raise??

[Anonymous]

I recently applied for a credit card through my CU, they pulled my report from EX and EQ and my score is 606?? Is that bad?? I am new to credit and trying to improve it quickly. I have a loan cosigned by my mother, a cap 1 card with 1k balance (50% uti), Kohl's card with $300 limit (80% uti) and a Kays card with a $800 limit (10% uti).

My CU told me I had a judgment on my report that had a balance of $225 and a CA medical account for $50. I paid them both off and the CA signed to PFD.

I will admit I was app crazy and I have about 14 inq.. (yeah I know..STUPID) and my oldest account is my loan that is 6 months old and my newest will be the credit union VISA ($500 limit).

Do you think my score will raise any this month since I paid off the baddies?? If so, how much do you think??

Advice is appreciated.

[haulingthescoreup]

Hi, kiefer, welcome to the forums!

Although paying off baddies is the right thing to do, IMO, and it can make future lenders happy, it doesn't help your scores.

It's the fact that you got into trouble, not that you made it right, that is of interest to other creditors, and so that is what is reported and scored.

If you haven't already, please read Understanding Your FICO ® Score and Credit Scoring 101 (at least the first post.)

These will give you the background knowledge you need to understand what you read here on the forums.

[Anonymous]

Thanks for the advice... I have read the posts you mentioned in the past as I have been lurking here for months. I forgot to mention was the judgement was due to a dentist who took me in for an emergency and the secretary told me they took my insurance and it all reality, they didn't. I ended up moving and they didn't have my new addy so I didn't get the bill until I got the court notice!!! Nice huh!!

Also, I have NO late payments and I always pay at least double, sometimes triple the minimum. I was hoping that my score will increase without the "baddies" on there since I have a good payment history in the making.

You're thoughts???

[haulingthescoreup]

Well, that stinks!

Since you've been lurking here, did you try a PFD for the dental bill? And even now, it might be worth a GW.

That sort of thing really ticks me off...

[Anonymous]

Yes it makes me mad too!!! Yes the Collection Agency handling the judgment are complete SNOTS!!! It is an agency ran out of the basement of someones home and they are by far professional. My wife went there in person and paid in cash and she also had a PFD in hand. The owner couldn't be bothered at first but after my wife insisted they uld belook at it, he signed the form letter (that we got from here). He wrote that it it would be deleted when they report on the 15th of this month. So as far as that goes it will be gone from my reports. The other CA always makes sure they delete the collection upon payment but again my wife made them sign the form??

Was that smart of her?? 

[haulingthescoreup]

That was very, very smart of her. I just hope that they will honor what they signed.

If all goes well, it will be a win-win-win situation. They'll stop bothering you, they'll get their money, and the CA's will fall off your reports.

Did your wife know about PFD's already, or did she work this out on her own? If the latter, my hat's off to her! Smart lady.

[Anonymous]

Actually, I mentioned it to her from reading about it on here so she researched it and drafted the letter based off a form letter on here. As for them honoring it, she made it bold print on the letter that if they agreed to the PFD and did not follow through then we would persue with legal actions since the letter was a binding agreement. I have a relative who is an attorney so I asked him if we could use his name and he agreed so she noted that a copy of the letter would be on file at the attorney's office.

So once deleted do you think my score should raise?