I'm typing up PFD letter and am still a little confused on how much I should offer to get them to agree to the deletion. On my credit report I have one charge-off with Capital One (total payoff including late and written off is $2040.00), and two charge-offs to Citi (including late and written off $2219.00 and $2027.00) for credit cards.
In my savings account I have approx $3000 to use, so I could pay off one in full right now, would they be more willing to accept a full payment for deletion or would they possibly agree to 75% for deletion just to be done with it. I feel like if I offer the full amount and they decline, they will know that i am able to pay them and come after me, but i'm also afraid if I go too low, they will decline. The accounts are from 2005-2006, so i'm pretty sure they are still in florida's SOL so i'm still afraid of judgements.
I'm trying to clean up my credit, the charge-offs won't expire for quite a long time, so the sooner I can work out the negatives the better. I've been trying to get financed for a car, cause mine is quickly dying, but my credit is a disaster. I'm going to open a secured credit card with Orchard Bank to try and work on my credit history.
Has anyone had success with sending PFDs to Capital One or Citi Cards?
Since your accounts have already been charged off, it can never be removed from your credit report before the seven year period even if you pay off the debt in full. So I think that instead of paying off the debt in full, wait for the creditor to sell your account to a collection agency. Once your account is sold off to a CA, you can negotiate with them to settle for less.
have history with Cap One
I had a charge off account with Capital One and I neglected to call them to make a PFD or any type of offer. I wish I had. Cap One is quick to hand your account over to an attorneys office, which they did to me. Now, I am making payments to a Law firm to stop them from filing suit. So you can only try.....if they say no...then you go on and try another solution.....it can't hurt.
Yes, Charge off does not mean that you are no longer required to pay off the debt. In fact when a creditor charges off your account, they consider it as a bad debt and stops collecting the debt and sells it off to a collection agency. The CA purchases the debt and tries to recover it. Now as Carol said, if you try to make the payment to the original creditor, you need to make the full payment towards the debt. So I think that you should settle the debt with the collection agency once the debt is sold off to them.
credit
I have a CC that is now 'Charged Off', on my credit. The CC company sent me a letter ( an "offer", actually) stating they are willing to take a % of the original amount owed. Now.if I do this, howwould my CC look like? Would it STILL continue to say 'Charge Off'?
Even if they settle off your debt for less, the charged off listing cannot be removed from your credit report and it will stay there for seven years and affect your credit score. The only thing is that if you pay off your debt, you can save yourself from judgment which the creditor might bring if you do not repay back the debt.