Analyzing my spotted past, and the best ways for me to move

Submitted by broncojosh on Wed, 05/05/2010 - 23:37

I just found your forum, and it seems there is a tremendous amount of quality information. I have read about debt validation, SOL, etc, but am curious as to what parts of my credit history to apply these things too. I paid a credit repair place like a dummy about a year ago, and they sent out there letters, and I did my correspondence, and nothing seemed to be affected. Does that change anything with debt validation or SOL? I have a few past credit cards in collections. One with Capital One for $1064 (original debt was $200, and the rest are fees!), and one with bank of america for $3980 (original debt was $2000). I also have an old power bill for $1100. I started to try and repair my credit about 18 months ago, and have increased my score from 510 median, to my 3 scores being 644,635, and 612. Financially I am able to pay everything off if need be, but am looking to do whatever will increase my credit worthiness. Any direction would be amazing.

J.

Hi broncojosh,

Can you tell which state do you live in? How old are the debts in collections? If the Statute of Limitations have expired on any of these debts, you may not get sued for these. However, this does not mean that the collection process may stop. So if you can you may try to pay off the dues.

However, before you can start making any payments, request the collection agencies to agree to a "Pay for delete" agreement. With this your account will get reported as "Paid".

Another thing that you must know is that if these accounts are old, then your score may initially be hit when you start making the payments. However, your score will start improving with time.

Thanks,

Aaron

Thu, 05/06/2010 - 11:09 Permalink