Credit Question.

[SlitheryDee]

So I availed myself of my yearly credit reports from the 3 major credit reporting agencies last night, and what I saw gave me a bit of hope for my credit future. There were only one or two negative entries on all of them, and those were all from the same student loan that went to collections a few years back. About 3 years ago I settled with the collections agency and all the credit reports reflect that, but they still show up as a major negative due to having gone into default. I believe these entries are set to go away on their own sometime during 2014, but what I was wondering is if I could somehow get rid of them before that.

I've been a very good boy credit-wise for the last 5 years, but that wasn't always the case. Bad credit decisions seem to be the gift that keeps giving for a long ass time. I was hoping perhaps I could get rid of this last ding early since it IS technically satisfied, but if not, I suppose two more years isn't THAT long.

 

[SandEagle]

what's the question?
nm, i see. just ignore it and it'll eventually go away

 

[SamQuint]

By law they will remain for a set number of years. There is no way to get them off of there. (Don't give any money to any company claiming they can fix your credit. They are usually scammers)

You can always file disputes and hope the agency reporting does not respond in 30 days. However they will most likely respond saying the information is valid. Doesn't hurt to try.

 

[ponyo]

paypal me $1,000 and I can remove it for you.

 

[edro]

You want to be released early based on good behavior? Credit doesn't work that way.
Credit agencies aren't overbooked with low level criminals.

You messed up and it is only fair to warn future creditors of your shaky past.

I thought they stayed on for 7 years, which seems the right amount of time to grow up.

 

[SlitheryDee]

You want to be released early based on good behavior? Credit doesn't work that way.
Credit agencies aren't overbooked with low level criminals.

You messed up and it is only fair to warn future creditors of your shaky past.

I thought they stayed on for 7 years, which seems the right amount of time to grow up.

Yes I suppose so, but it's kind of frustrating to know that I've done everything I could do to fix my credit. Every debt is satisfied. I've established new lines of credit that I've kept in good standing for years now. Now all I can do is wait.

I like it better when I can actively do something to improve things. Oh well, I suppose I'm nearly there and that'll have to do for another 2 years.

 

[Wr3ckin_Cr3w]

Yeah man, you defaulted on your loans, but hopefully you got your degree. 7 years is how long it takes for it to go away. Just keep up the good credit in the meantime.

 

[TakeNoPrisoners]

As long as you have perfect credit from now on it will eventually disappear.

 

[Old Hippie]

If ya can't do the time don't do the crime.

You're learning!

 

[sourceninja]

Look on the bright side, having less than perfect credit will make you think really hard before you get into debt again. This could save you thousands in things you don't really need.

 

[DayLaPaul]

Yes I suppose so, but it's kind of frustrating to know that I've done everything I could do to fix my credit. Every debt is satisfied. I've established new lines of credit that I've kept in good standing for years now. Now all I can do is wait.

I like it better when I can actively do something to improve things. Oh well, I suppose I'm nearly there and that'll have to do for another 2 years.

The only leverage you have with a creditor is your money. Once you've paid off a collection, you lose all leverage in getting the item removed from your credit report. The proper way to pay a debt that has been sent to collections is to negotiate a settlement in writing where you "pay for deletion."

A lot of people just pay off the collection, thinking it fixes the problem, but when it comes to evaluating your credit (score) a collection is a collection. It doesn't matter if it shows paid, outstanding, settle, etc. It's still going to ding you just as bad. You want it off entirely.

 

[boomhower]

It can certainly be done. Go visit creditboards.com for the some info, spend a lot of time reading. The crux of it is you have the collection agencies verify the info and hope they can't, quite often they can't as they either didn't get the right info to start with or have piss poor records keeping. Getting the bad info from the original creditor off is a whole different ball of wax and much more difficult.

 

[bobdole369]

This is precisely why paying off bad debt is a baaaad idea as a consumer. See how it reset for another 7 years once you paid it? If you had not then the collection acct would be gone (or at least significantly reduced in effect) by now.

 

[bobdole369]

One thing you can try is a simple "dispute" dispute anything at all on the tradeline. It's amount, the status, etc. There is a small chance that the acct isn't worth anything to the CA anymore, or that the CA moved on and isn't keeping up to date on it. It does cost them something to do these things so there is an infinitesmal chance it'll just drop off with a simple dispute. You aren't looking to sue them off so no point in starting the CMRRR trail.

 

[kranky]

It can certainly be done. Go visit creditboards.com for the some info, spend a lot of time reading. The crux of it is you have the collection agencies verify the info and hope they can't, quite often they can't as they either didn't get the right info to start with or have piss poor records keeping. Getting the bad info from the original creditor off is a whole different ball of wax and much more difficult.

Want to emphasize that part. A lot of people go to creditboards and instead of really doing their homework, they jump in and start doing things without fully understanding the process, and then are butthurt when it blows up.

 

[bobdole369]

It can certainly be done. Go visit creditboards.com for the some info, spend a lot of time reading. The crux of it is you have the collection agencies verify the info and hope they can't, quite often they can't as they either didn't get the right info to start with or have piss poor records keeping. Getting the bad info from the original creditor off is a whole different ball of wax and much more difficult.

Unfortunately this world is filled with BS and at this point the "dispute" process isn't at all what its intended to be. The credit reporting agency is supposed to "investigate" the tradeline, and specifically what it is that you disputed. It's so diluted now that instead of doing something substantial, (such as making a phone call and having the CA resubmit the account) they are sent an electronic notification, which the CA often only has to "verify" (by checking a box and hitting submit). They don't do any real sort of investigation anymore. You are often down to suing not only the CA, but the original creditor and the CRA in the meantime to get some BS that isn't even yours off your report.

 

[bobdole369]

Want to point out http://www.infinitecredit.com as a valuable resource as well.

 

[ponyo]

This is precisely why paying off bad debt is a baaaad idea as a consumer. See how it reset for another 7 years once you paid it? If you had not then the collection acct would be gone (or at least significantly reduced in effect) by now.

More people need to know this. If you have bad debt, don't pay and reset it. Let it drop off.

 

[highland145]

This is precisely why paying off bad debt is a baaaad idea as a consumer. See how it reset for another 7 years once you paid it? If you had not then the collection acct would be gone (or at least significantly reduced in effect) by now.

Can't disagree with the reset. Can disagree with being a deadbeat p.o.s. and intentionally trying to skip out on paying what is legally owed.

DayLaPaul's idea is well worth a try.

 

[ponyo]

Unfortunately this world is filled with BS and at this point the "dispute" process isn't at all what its intended to be. The credit reporting agency is supposed to "investigate" the tradeline, and specifically what it is that you disputed. It's so diluted now that instead of doing something substantial, (such as making a phone call and having the CA resubmit the account) they are sent an electronic notification, which the CA often only has to "verify" (by checking a box and hitting submit). They don't do any real sort of investigation anymore. You are often down to suing not only the CA, but the original creditor and the CRA in the meantime to get some BS that isn't even yours off your report.

:thumbsup:

 

[ponyo]

Can't disagree with the reset. Can disagree with being a deadbeat p.o.s. and intentionally trying to skip out on paying what is legally owed.

DayLaPaul's idea is well worth a try.

People can play the moral card and honor your obligation guilt trip but til the system is changed, you just play by the rules. Rich people I've know wouldn't think twice about skipping out on paying what is legally owed. Cramdown is common and accepted practice.

 

[highland145]

People can play the moral card and honor your obligation guilt trip but til the system is changed, you just play by the rules. Rich people I've know wouldn't think twice about skipping out on paying what is legally owed. Cramdown is common and accepted practice.

I know it happens. I just take personal when some dickhead screws me when they have the means to pay. Too bad S.C. doesn't have garnishments.

As far as the rules go, the consumer has it much better now than in years past. Disputing anything through the bureaus was more than an epic pita and very often useless.

 

[bobdole369]

More people need to know this. If you have bad debt, don't pay and reset it. Let it drop off.

It isn't really being a deadbeat anymore than the company you owed it to. They took a writeoff and they aren't out at all. The company took (often) taxpayer or bank money in your stead. Why would you pay a new company collecting on it, when that company likely paid less than a penny on the dollar, and you are paying back full price?

 

[ViviTheMage]

More people need to know this. If you have bad debt, don't pay and reset it. Let it drop off.

So if I default on a loan, I should not pay the collections agency, and after a few months(??) it will just disappear entirely, even off my credit report?

Your statement confused me.

 

[DayLaPaul]

Can't disagree with the reset. Can disagree with being a deadbeat p.o.s. and intentionally trying to skip out on paying what is legally owed.

DayLaPaul's idea is well worth a try.

Unfortunately (if I am reading his post correctly) he has already paid off that debt but didn't have an agreement in place for them to delete negative trade line. There's nothing he can do at this point except ask them nicely to remove it, which they have no obligation (or incentive) to do.