repaying charge off account

Submitted by Anonymous (not verified) on Mon, 04/27/2009 - 22:02
Forums

Im trying to get my credit back straight. I got a credit card that was charged off a couple years ago, its still several years away from the SOL.
My credit report shows it as being charged off, $2,442 written off and $807 past due, and that it was purchased by another lender. I want to make contact and try to get it straightened out but i dont know who purchased it, or exactly how to go about it. The credit report gave me an address and phone for the original lender. What do i do? Do i call or write a letter? Any other tips or things to look out for? Any suggestions or anything? What about these credit counseling places, good or bad idea?

I appreciate the help.

Hello there lucas,

Has anyone tried contacting you over the past few years about collecting the debt? That seems very odd that they would have sold the debt to another company and yet the new company hasn't tried contacting you about it.

I would try first contacting them by phone to see if they can tell you if it has in fact been sold already and if so then who do they sell their charged off accounts to. You can just hope that maybe they haven't actually sold the debt off and may make a payment agreement with you for less than the full amount.

You'll have to be cautious as to how you proceed once you find out who the debt was sold to if it was. For whatever reason they haven't yet contacted you and they are not reporting anything on your credit so any communication with them could change that. On one side they may be willing to keep it off of your credit reports if you make and keep some sort of payment arrangement with them. But then again they may not. It just depends on who your dealing with.

Best of luck

Tue, 04/28/2009 - 01:28 Permalink

If in your credit report you do not find the name of the collection agency, who has purchased your debt, you need to contact your original creditor, whose name and contact details are mentioned on your credit report, regarding the debt. Now, if the original creditor has already sold the debt to a collection agency, they will inform you about it. I think that you should make all correspondence with the creditors in writing and through certified mail.

Tue, 04/28/2009 - 05:34 Permalink

Hi Lucas

If the creditor provides you with the name of the collection agency to whom the debt has been sold, you can send them a debt validation letter by certified mail and if they validate the debt, you can come to a settlement agreement and pay it off. I think that you should try to settle the debt for less, because even if you pay off the entire debt, you cannot get the charged off listing from your credit report. Now, if you settle the debt and pay it off to the creditor, you can save yourself from the legal suit that the creditor may bring against you for the debt.

Tue, 04/28/2009 - 08:36 Permalink
Lucas (not verified)

Im pretty sure the debt was sold off several times, i remember receiving several collection attempts through the mail from several diffrent places but i no longer have the papers, i havent received any in the last year or so though

Wed, 04/29/2009 - 00:37 Permalink
Lucas (not verified)

one more thing, even though i cant get the charge off removed from my credit report, can i at least get it to show up as paid off?

Wed, 04/29/2009 - 00:50 Permalink

Yes, it is true that a charged off account can never be removed from your credit report and it stays there in your report for seven years and 180 days from the date of delinquency. However, if you pay off a charged off account, it will be listed as "paid charged off" but will still remain in your report as negative.

Wed, 04/29/2009 - 07:28 Permalink
Sherry (not verified)

I received a judgement today from discover through their attorney. I know that i have to reply in 20 days but how do i answer.I have no money and New Life Debt Relief is my debt settlement co. We have settle 2 debt and we have 4 summons in line. What to do

Thu, 04/30/2009 - 16:30 Permalink
Sherry (not verified)

What are the ways to keep posponing to go to court to get a chance to accumulate money for a settlement. I need time.
I have learn a lot from other self help. Is it wise to terminate my debt settlement co to get more money to settle more debt?

Thu, 04/30/2009 - 16:37 Permalink

As far as I know, you can postpone your court date by filling up the "Request to postpone" form with the clerk's office in the court at least before 10 days of your scheduled hearing. However, you should always be ready for the original hearing date in case the judge does not agree to postpone. You may postpone the court date on valid grounds such as death of your family member, medical emergency and time to find out a lawyer.

Fri, 05/01/2009 - 10:13 Permalink
Lucas (not verified)

So, if the original creditor has it marked as charged off and they have sold it to a collection agency and i pay the collection agency, will there be any problems with it showing up as paid? the idea i get from some post is that the collection agency that bought the account will just take your money and never report it

Sat, 05/02/2009 - 00:28 Permalink
rachael (not verified)

Hi Lucas,

In order to have an updated credit report which is very important, you have to monitor it yourself. Relying on the collection agencies might leave certain negative remarks on your credit report. Once you have cleared your dues, get a copy of your credit report, check for items that should not remain on it. Send request in writing to the credit bureaus to correct them. You can attach copies of your credit report and circle the items you want to be removed. Retain copies of whatever documents you send either to your creditor, the collection agency or the credit bureaus for future use.

Slow and steady wins the race.

Sat, 05/09/2009 - 10:48 Permalink

Lucas
Once you pay off the charged off account, it will show up as "paid charge off" in your credit report and stay there for seven years and 180 days from the date of your delinquency. "Paid charge off", although not ideal, is certainly better than "charge off" listing because it will prevent you from any legal suit which the creditor might have brought to recover the debt.

Mon, 05/11/2009 - 08:16 Permalink
salley (not verified)

the charge off has been 8 to 10 yrs. old can they add interst on the debit

Thu, 09/10/2009 - 21:10 Permalink
Diane (not verified)

a credit card went to collection...a judgement was awarded..we have been paying each month...my records show (from Suttell and Associates amoritization schedule) that our balance is $16,000..our credit report (dated Sept 10,2009 shows a balance of $1503 by 2 agencies...and the 3rd shows $203. Which one can we believe? My $1300 check for September's payment has not been cashed. Any advice?

Mon, 10/26/2009 - 15:52 Permalink
crunk (not verified)

the charge off was place on my credit report before 180 days, and sent to an attorney. What can i do?

Sat, 01/09/2010 - 02:09 Permalink

I understand a charge off cant be removed, but I am paying off a charge off bank loan (that I cosigned! :( ) and have asked that they mark it paid in full.

It is the ONLY item that is listed under NEGATIVE info.
Will it remain under that category or be moved?

I'm trying for a promotion at work, and this is the ONLY THING keeping me from moving up. I will have the satisfied promissory note in hand from the bank to use to prove it has been "fixed" and paid. Im just wondering if it will still exist under the NEGATIVE column, or if it will be moved to adverse accounts or something??
Thanks
LindaC

Fri, 02/05/2010 - 18:13 Permalink

Hi Lindac,

Te charge-off will remain their until removed by the bank. If you are making payments to the bank, request them to remove the negative in lieu of the payment. This is known as the "Pay for delete" agreement (PFD).

Thanks,

Aaron

Wed, 09/08/2010 - 10:57 Permalink
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Fri, 01/03/2020 - 03:21 Permalink
Graham Bell (not verified)

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Wed, 01/08/2020 - 21:04 Permalink