I have 6 credit cards with Collection Agencies and 2 Judgments in MN. I stopped paying them back around Aug 2000. I just found out MN SOL is 6 years. I want to build my credit history. Currently I have been receiving settlement offer letters from CAs with 50% - 70% discounts. Should I start paying back these CAs and ask for paid in full letter & full deletion of all references regarding my accts from my credit files? Also now I live in a different state. Please advice. Thanks.
1.) Citibank - $3200 - Judgment
2.) Associates - $4500 - Judgment - Can't locate plaintiff. Thinking of filing a motion at court and asking judge to vacate Judgment since unable to locate plaintiff.
3.) Discover - $2000 - Got a letter from CA saying Jefferson Capital Systems, LLC is please to provide you with an opportunity to satisfy this debt by providing me with new card.
4.) GM - $2200 - CA is offering 70% off total bal
5.) Citibank - $4000 - CA is offering 50% off total bal
6.) MBNA - $4000 - CA is offering 50% off total bal
7.) DFS - $1600
8.) US Bank - $1700
Hi Lapax,
SOL in credit card debts is not the same as SOL in judgments. Judgments can be renewed every 10 years and according to the state laws, it can last up to 20 years. So, a paid judgment will always be good to your credit because they will be posted as "Satisfied Judgment" If it is possible, give the judgments the priority and try paying them off.
For the debts with collection agencies, see if you can manage the payments with them. But before you send them proposals, make sure that they have your file. Get the debt validated in writing that shows the specifics about the debts and other necessary information from your creditors. You haven't mentioned the age of these debts with the collectors. You need to consider the SOL of the state where the debt account originally occurred.
It doesn't matter if you have changed places. If the last payment was done before the SOL time frame, new payment activity will re-enforce legal collections and the collectors will get a chance to sue you in the court. The point is that paying on a settlement will be a good thing for your credit but you need to have the money to do the payments. Partial payments might be risky in case you default in the future and with the SOL renewed.
Let me know about the how old these debts are with the collectors.
Carol
Thanks for the suggestions Carol.
1.) Citibank - $3200 - Judgment
2.) Associates - $4500 - Judgment - Can't locate plaintiff. Thinking of filing a motion at court and asking judge to vacate Judgment since unable to locate plaintiff.
3.) Discover - $2000 - Got a letter from CA saying Jefferson Capital Systems, LLC is please to provide you with an opportunity to satisfy this debt by providing me with new card. - Date of Last Pymt - 08/2000
4.) GM - $2200 - CA is offering 70% off total bal - Date of Last Pymt: 07/2000
5.) Citibank - $4000 - CA is offering 50% off total bal - Don’t know date of last pymt
6.) MBNA - $4000 - CA is offering 50% off total bal - Date Reported: 03/2003 – Don’t know date of last pymt
7.) DFS - $1600 - Date of Last Pymt: 09/2000
8.) US Bank - $1700 – Date Reported: 05/2001 – Don’t know date of last pymt
Hi Lapax,
SOL in MN is four years. Do an online search and you will have this info confirmed. You can also inquire this with your DA's office.
The debts are already out of the statutes. A new activity will reactivate the statutes. At this stage, the collector cannot sue you for those debt accounts. However, if you are interested to improve your credit slightly before they go out of the reporting time, payment done will boost up your credit from this already tarnished reporting.
Confirm the dates of the other accounts when you did the last payments. You will be able to follow the same rules.
Unless you are interested in improving your credit default at this point will not have any drastic affect on your score.
Carol
Associates were bought by Citibank several years ago.
Hi Lapax,
Is this the account that is put on judgment or the one that is with the collection agency?
If the collector is asking for the payment for this account, consider the SOL before showing any activity.
If there is any new activity, it will renew the statutes and the negative will stay longer, tarnishing your credit if there is a default.
Peter
One thing that most people dont consider in credit card cases is what the law of their state is. So, first thing would be to see if your state considers a credit card an "open account" or "stated account". This will most likely result in two different statutes of limitations. Are these accounts also causing a lot of collection agencies reporting on your credit reports?
fee added on to bounced check fee
hi my now husband bounced 3-4 checks from a business account about 4 years ago and i just found them on my credit report because i was on the checking account too, i called to pay the debt on my credit report $34.00 for the $4.00 check worte, and they said the amount owed per check now was 134.00 because it was over 100 days late , do i have to pay the additional fee for the bounced checks?
thank you
heidi
Looks like a bumped thread but nonetheless OP if you are still around, you can refer to my 1-2 punch thread for the collection agencies (ca): http://www.creditmagic.org/repair/1to2-punch.html#8830
Always dispute and make them PROPERLY VALIDATE! If they can't, you don't owe. The 1-2 punch is very effective though at getting deletions.
Pretty sure you are on the hook for this...what state were the checks written in? There is also a possibility that the SOL has run out on these checks...
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zktGuP I really liked your post.Really looking forward to read more. Keep writing.