I've found a lot of great information on this site already! Of course I do have some questions even after searching your boards.
My story: I just purchased my first car, but suffered a HIGH interest rate due to some things on my credit report. I was unaware that it was so bad because I was dumb about credit. No one ever taught me, so with my first cc I took money out of the ATMs and even wrote checks against the card. Like I said, I'm paying 15% interest for my truck and I'm also suffering a higher insurance rate on my renter's insurance too. That's just two things off the top of my head. That said, I am currently trying to repair my report, but I've had some issues which bring up the following questions:
1. If you have a debt that is still within the SOL do they have to remove it from your CR just because you send a letter asking them to?
2. Judgments!!! Ahhh! Here in WI these things have an SOL of TWENTY years. That said, I have one that is paid in full and the other that is not. The one with the balance is coming up on seven years. Can they leave it on there for the full twenty if you do not pay it? If you pay it, can they remove it before the seven years, or after the sever years?
3. After speaking to the CA about this debt they have said that it has 12% interest added on it from the last six plus years. The lady told me that she can NOT take any of the interest off and that I would have to pay the full amount. The total is almost as much as the principle. Does anyone know of any such law?
4. When I talked to the CA about that judgment I asked her to tell me what the services were for and when they were performed (they were all medical). She named the people that they were for and one was my sister. I didn't go to court because when all this was happening I was too scared and too broke. Is there anything I can do to get her portion off?
5. It seems as if everyone around here reports to the same CA. The judgment that is not paid is at this same CA. In addition to trying to get them to knock off most of that interest, I would also like them to do a few pay for deletes. Since they have so many of my accounts, do you think that they will be willing to delete some, or do you think that they are thinking that they have nothing to lose since I have so many debts there?
6. Lastly, we had SBC as our phone provider. I got an additional line at a friend's house. Of course she didn't pay and it got sent to the CA. She insisted that she has since paid and I remember that she did, however it is showing on my CR as not paid. SBC has merged with ATT and they do not have contact info at the bottom of my report like the rest of the collectors. Should I send the prove it letter to ATT or shoudl I send Equifax a dispute letter?
Any advice would be helpful. I am suffering with the high interest rate on my truck, but I don't want to do that when I purchase a home. ALSO, I'm trying to repair my husband's as well although he only has medical things on his and I'm very hopeful that I can do a pay for delete for those.
I have opened a Target and Fingerhut card to establish credit. On both cards I have purchased something, paid some on-time payments and then paid the balance off. I know that I shouldn't carry high balances on those cards, but is there anything else I should know? Am I even in the right direction?
Thanks so much! My uncle said he would build me a house, but I have to get my credit right so I can be approved for it first!
One More...
Sorry I forgot one more thing. I have an electric account that I have gotten in the habit of paying late throughtout the summer and not at all during the winter. I had no idea that they reported all that!
Two quick things:
1. When I moved they created a new account so now it looks like I have two poorly paid accounts. Can they do that?
2. They only report when I pay late, then when I pay on time it reflects nothing. Can I make them report during the months that I do "good" as well?
Thanks again!!!
Hi Upward Bound,
Its great that now you have taken your responsibilities seriously. Its better late than never. Your credit is thoroughly in a bad shape but you can mend it with persistent effort.
I am trying to answer some of the questions according to the numbers.
1) A debt cannot be removed unless it is not yours. If the debt is not yours, you can dispute it with the bureau and it gets removed. The SOL is not a factor here. SOL is something that you can use as your defense at court if you are sued. Negatives usually stay for 7 years and even more. You should let positives stay as they add to your credit.
2) Well, in case of a judgment the remark stays on your report for the number of years mentioned or till the SOL runs out...whichever is longer (in this case 20 yrs), whether you pay it or not.
3) Well CA's are there to nail you. Try for a pay for delete.
Hope to see some more answering. I did till I could :). Hope this helps
1. Know that you are not alone here, I have a few of your very same issues and all I can say is keep working at it, it will take time. I 5 collection accounts and am done to 1 now, they are still on my credit report but show paid in full. They would not delete for me.
2. I too, have a high intrest rate on my car, really hate it but I know that it is my own fault.
3. My credit will take another good two years to clean up, I have been working on it for about 2 years now, but I have been trying to make the recent payments on time and trying to get rid of the collection accounts at the same time, as well as paying living expenses. So, I am plugging away, one pay check at a time.
4. You have got an awesome start, you have already listed everything done here. I suggest that you take the judgement issue to the debt forum, there are some real experts there when it comes to handling debt and judgements, so use both forums for advice and you will get a ton of it there too.
5. Love your name, upward bound, stay positive and keep plugging away, you will get positive results, persistance pays off in these matters. Keep us updated here, it is always good to share your progress. take care and goodluck.
Summary Report
Thanks for the assistance so far! I read in another thread that things could be removed if they are paid. I have never heard that before so that's why I was confused.
I will go to find out more about those judgments. I am so serious about fixing this!
I have been working very hard at mine too in the last six months since I've found out that things were so bad. Here's a summary of what I'm working with:
1. Target Card - current, never paid late, open in Oct 2007. Currently shows a zero balance, but that is not correct. It is about 90% maxed. I will make a payment of more than the amount due on thie next billing cycle, then on the following I will pay it off - IS THAT RIGHT???
This card is reported to all three bureaus.
2. Fingerhut card never paid late, opened in Sep 2007. Currently shows a 46% balance, but it really has a zero balance. I do not plan on purchasing anything else on this card - SHOULD I?
This card is only being reported to Equifax.
3. Car payment company with a balance of $17692 opened in Oct 2007 never paid late and is reported to all three bureaus.
4. Student loan company with a balance of $12617 opened in Sep 2007. I never paid a payment on this but it is showing as current with "OK" payments each month. This is reported to all three bureaus.
5. Gas company with a balance of $1358 opened in Feb 2006 shows six "120" days and only three "OK" the most current 120 was for the last two months. I KNOW I have to really work on this one, I didn't know that they were reporting. This will be paid in full on April 10th. However, I think that by then it will be reported to the bureau again. It only reports to TransUnion.
6. Student Loan with a balance of $8594. I paid a couple payments on this way back in the day, but I have been on an in school deferment for quite some time. It is still reporting as current and OK. It was opened in Mar 2006 and has never showed one derogatory payment. This reports to all three bureaus.
7. Gas company reported only to Transunion. Currently shows a zero paid balance. It was opened in 10/03 and closed in 2/06. During that time it shows (3) 90 days, (3) 120 days, and (4) OK payments. - CAN THEY HAVE THIS ONE ON THERE AND THE OTHER ABOVE ONE TOO?
8. Student Loan opened in 99 shows only OK payments and is currently paid with a zero balance. It only reports to Equifax and Experian.
9. Another student loan with a $2440 balance I paid a couple payments on this way back in the day, but I have been on an in school deferment for quite some time. It is still reporting as current and OK. It was opened in Mar 2006 and has never showed one derogatory payment. This reports to all three bureaus.
10. Midland shows on my report for Equifax and Experian, but shows as a separate item for TransUnion. Shows as a zero balance derogatory item for Equifax and as a Chargeoff for Experian. I paid the $129 in full in Jan 2008 as reflected for TransUnion.
11. $60 Collection agency opened 7/07 piad in 11/07 zero balance reports to all three agencies.
12. $146 SBC account. This was opened 10/04 and reported 12/04. It only reports to Equifax and shows as derogatory. This is the one that I'm not sure about. I called today, but they were not open.
13. $177 original balance $234 current balance. This is another collection agency account that is reporting as derogatory to TransUnion and Experian. This was opened 3/04 and was last reported 11/07. This one is my next priority.
14. Judgment for $237 filed 11/05. It reports to all three bureaus and only shows closed to TransUnion 3/08.
15. Judgment for $586 filed 5/01. It reports to all three bureaus. This account according to the CA that bought it is now more than $1200. I really want to pay it off, but do not want to pay THAT much!
I have 19 inquiries between the three agencies (14-TransUnion, 1-Experian, 4-Equifax). 13 of these were during 9/25/07 and 10/09/07 and were all for my truck.
If you can't tell I pay for the TrueCredit through TransUnion. My scores are:
541 -TransUnion 554-Experian 623-Equifax
My husband is not as bad as me in terms of debt, but is still bad. He has:
1. Two judgments both paid in full (only one shows as so)
2. Five CA accounts (2 are paid and the other three total $263) I would pay these TODAY if they would delete them!!!
3. One OLD credit card that only reports to Equifax and was paid in full but shows as derogatory. There's no date and I really think it's been longer than seven years since he had that card.
4. Student Loan $2108 never paid late and is current. We thought about paying this off, but I figured that by paying the OK payments each moth he's establishing history - right???
His scores are:
542 -TransUnion 548-Experian 571-Equifax
Okay so if anyone reads this and sees that I should be doing something else, PLEASE PLEASE let me know.
THANKS AGAIN!!!!
1. Target Card - current, never paid late, open in Oct 2007. Currently shows a zero balance, but that is not correct. It is about 90% maxed. I will make a payment of more than the amount due on thie next billing cycle, then on the following I will pay it off - IS THAT RIGHT???
This card is reported to all three bureaus.
It will eventually update.
2. Fingerhut card never paid late, opened in Sep 2007. Currently shows a 46% balance, but it really has a zero balance. I do not plan on purchasing anything else on this card - SHOULD I?
This card is only being reported to Equifax.
I wouldn't use this again; I would use a traditional credit card for small purchases and PIF every month.
5. Gas company with a balance of $1358 opened in Feb 2006 shows six "120" days and only three "OK" the most current 120 was for the last two months. I KNOW I have to really work on this one, I didn't know that they were reporting. This will be paid in full on April 10th. However, I think that by then it will be reported to the bureau again. It only reports to TransUnion.
Did you go 4 months late 6 different times? This doesn't sound completely right...dispute to correct.
7. Gas company reported only to Transunion. Currently shows a zero paid balance. It was opened in 10/03 and closed in 2/06. During that time it shows (3) 90 days, (3) 120 days, and (4) OK payments. - CAN THEY HAVE THIS ONE ON THERE AND THE OTHER ABOVE ONE TOO?
Different account, yes.
8. Student Loan opened in 99 shows only OK payments and is currently paid with a zero balance. It only reports to Equifax and Experian.
Excellent.
10. Midland shows on my report for Equifax and Experian, but shows as a separate item for TransUnion. Shows as a zero balance derogatory item for Equifax and as a Chargeoff for Experian. I paid the $129 in full in Jan 2008 as reflected for TransUnion.
Midland is a CA, right? Dispute.
11. $60 Collection agency opened 7/07 piad in 11/07 zero balance reports to all three agencies.
Dispute.
12. $146 SBC account. This was opened 10/04 and reported 12/04. It only reports to Equifax and shows as derogatory. This is the one that I'm not sure about. I called today, but they were not open.
Try getting a pay for delete.
13. $177 original balance $234 current balance. This is another collection agency account that is reporting as derogatory to TransUnion and Experian. This was opened 3/04 and was last reported 11/07. This one is my next priority.
Try also for a pay for delete. If not successful, dispute after paying.
14. Judgment for $237 filed 11/05. It reports to all three bureaus and only shows closed to TransUnion 3/08.
PIF? Dispute with Equifax and Experian.
14. Judgment for $237 filed 11/05. It reports to all three bureaus and only shows closed to TransUnion 3/08.
Judgments are negotiable, just as other collection accounts.
I have 19 inquiries between the three agencies (14-TransUnion, 1-Experian, 4-Equifax). 13 of these were during 9/25/07 and 10/09/07 and were all for my truck.
These all occurred within two weeks, so these should be treated as a single inquiry for FICO purposes. Within a year, the affect on your score is minimal, and they drop off after two years.
1. Two judgments both paid in full (only one shows as so)
Dispute for correction.
2. Five CA accounts (2 are paid and the other three total $263) I would pay these TODAY if they would delete them!!!
The CA probably doesn't have much leverage, since the commission will not equate to much money. You can continue to try to get a pay for delete...if not successful, PIF then go through the dispute process.
3. One OLD credit card that only reports to Equifax and was paid in full but shows as derogatory. There's no date and I really think it's been longer than seven years since he had that card.
Dispute as obsolete.
4. Student Loan $2108 never paid late and is current. We thought about paying this off, but I figured that by paying the OK payments each moth he's establishing history - right???
I would pay it off to save on interest. Build credit with a standard credit card...small purchases and PIF every month.
I have paid off a few that were in negative status before payment, is there a way to get these off my report?
You can go through the dispute process, but there is no real guarantee of removal, except to wait for them to fall off. The dispute process has simply created a loophole through which a consumer *may* be able to remove legitimate entries.
Get a bank VISA/MASTERCARD -- then cancel the retail cards you have, and never fall prey again to their "5% off this purchase when you get our HOME DEPOT -- BARNES AND NOBLE -- TARGET -- EXXON credit card." Retail cards don't show available high credit -- they simply show steady payment history, which is great...but, use of available credit is the key. High available credit and less than 50% use of it with steady payment history will give you much better scores than any retail cards will. Your car loan is providing you with the best source of credit -- keep that payment current.
If the judgements are 'real', they will need to be paid either before you get the loan, or when you get it, with the loan proceeds. First, you need to have the land to build on, so that property can provide youor 'down-payment' for your construction loan.
Can they leave it on there for the full twenty if you do not pay it? If you pay it, can they remove it before the seven years, or after the sever years?
If unpaid, it can remain for the life of the judgment. To the best of my knowledge, a paid judgment can remain for seven years from the date of satisfaction.
Please note that it is possible to negotiate with the judgment creditor; you can settle a judgment, as well as reach an agreement whereby the creditor will have the judgment voided in court, thus removing the judgment from your credit report altogether.
I see here you advised the original poster that she could dispute as obsolete a 7 year old debt. Can you really do this and would it get you anywhere sinc it isn't paid?
All that matters in this case is the date the debt was charged off. Seven years from that date, and it should be gone (OC and collector, alike).
cr
I disputed an 'unpaid' account. However.....the SOL had ALREADY expired. Took the CB 30 days to do their 'investigation'. Well...to make a long story short, the account was removed. The'fall-off'date had already passed.
One down, xxx to go :)
Get a bank VISA/MASTERCARD -- then cancel the retail cards you have, and never fall prey again to their "5% off this purchase when you get our HOME DEPOT -- BARNES AND NOBLE -- TARGET -- EXXON credit card." Retail cards don't show available high credit -- they simply show steady payment history, which is great...but, use of available credit is the key. High available credit and less than 50% use of it with steady payment history will give you much better scores than any retail cards will.
Agreed, but as an FYI, I got a credit card from Circuit City/Chase, but it is a "real" MasterCard; I can use it anywhere MC is accepted. If I need (more like really want) something from Circuit City, I can take advantage of special financing offers...got an LCD TV; zero percent interest for two years--gotta love Christmas deals!
credit
Yep...I have a few more items, I'm taking care of, on my CR. Eventually things will get better. YEAH!!
sdchargers are you working with collection agencies? What about any accounts near fall off? I ws thinking if I got finacially straightened around I would consider getting them taken care of but by that time it will be off my record. If I start contacing them it will probaly start the weekly harassment all over. Now for the past couple years they only send letters once a year or when it is sold to a new CA. Thats the part I hate...when they resell the debt cause then they start calling my family and they pretty much spell it out even though there not suppose to.
That is great. Two years of zero percent interest rate. You can read this blog
personalfinance.blogsome.com/ Link deactivated--Morningstar
i liked some of the posts here.
That looks like a good blog. I took a quick peek at it but need to go and read all of it after I get my daughter off to the bus stop. Thanks
I hate it when they remove good information, what is up with this?????? If it is not a personal benefit or an advertisement and it could benefit us it should be left on here. Can you repost it and put the word (dot) where the . would be, then it won't show up as a link.
hate it when they remove good information, what is up with this?????? If it is not a personal benefit or an advertisement and it could benefit us it should be left on here.
I found a link in a blog posting that belongs to a PDL, so I deactivated the link. Members are free to share questionable content, such as the above referenced blog link, or the recommendations of consolidation, settlement, and credit repair companies through the private message feature.
Yes could you please do that. I would be very interested in knowing this info.
please pm it to me Laura????? please
Get over 700
I had cc balances on 2 MC's of max of $9K and $14K. I paid off the $9K and closed it. I paid down the other to $4900, usually pay $500/mo on it and never use it. It has a $27K credit limit. I have an Amex that I avg $2K personal a month on but always pay in full on time. I have a $99K balance on 1st mort and a $9K balance on a 2nd Home eq'y LOC of $20K on my house valued at $265K. I have a $9K loan against my NY Life whole life ins which I don't believe is reported. I'm a 693 FICO with one son in college, $18K. Gross family income of $135K. A couple 30 day past due dings that are about to drop off.
Suggestions on how to get over 700?
I don't even know what 700 looks like so Can't help ya there.
Closing the MC hurt your score
Pay down the HELOC; the Debt:Credit ratio is a bit high (~forty five percent), get it under twenty five percent
Continue to pay down the other MC...the building payment history will continue to help your score, when you pay it off, keep the account open. At that point, keep the card open, use it for small purchases and PIF monthly, just as you do the AMEX
When the lates fall off, your score should experience a slight bump up, but as negatives age, the affect on your score decreases
Hi Mrnstar,
I dint realize that I placed the link in there. I wanted a deactivated one of course. Hi all, it was definitely my mistake. As per our TOS we cannot post commercial links to advertise. Mrnstar removes it because it carried an advert of a PDL. I am sending pm's to whoever has requested for it.
Thanks :)
Thanks a billion Laura..got your pm today.
learning a lot. wow!
Morningstar,
Thanks for your comments. Why did closing the MC hurt my score? Do you advise lowering my $500/mo MC payments and instead apply it to the HELOC to get it down below 25% quicker?
Ken
A portion of the FICO looks at the age of your open accounts. By closing the account, you removed a variable from the equation. As for applying the MC payments to the HELOC, the sooner usage drops below 15-25 percent, the sooner your score will rise. The new FICO is supposed to penalize higher balance/credit ratios more than ever.