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Preguntas
it's pretty precious
Member since 1/07 3839 total posts
Name:
Lauren
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Question about credit scores and collections
Sorry for all the credit questions-
it's easier to get straight answers form you people than to try to research online.
If an account is sent to collections, on a defaulted credit card account- will your credit score continue to go down, even if you pay off this defaulted collection with payments? Do you have ot pay it in full in order for it to stop hurting your credit?
Or will your credit start to improve as long as you are making payments towards this defaulted amount?
TIA!
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Posted 12/10/07 3:30 PM  |
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chikita315
Love
Member since 8/06 7945 total posts
Name:
M-lo
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Re: Question about credit scores and collections
I'm almost positive, if you set up a payment plan with the cc company, then you'll be in good standing. You don't have to pay it in full for it to stop hurting your credit. It won't increase your score that much, but it won't lessen it.
However, that doesn't erase the late payments. If you were 30+ days late, it will show the number of times you were that late or later.
It takes years for that to come off.
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| Posted 12/10/07 3:42 PM |
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DRMom
Two in Blue
Member since 5/05 20223 total posts
Name:
Melissa
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Re: Question about credit scores and collections
The better choice is to call the collector and negotiate a settlement and update to the account. A great place to start to fix your credit is creditboards.com. Read the primers. They have TONS of info on this
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| Posted 12/10/07 3:44 PM |
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Preguntas
it's pretty precious
Member since 1/07 3839 total posts
Name:
Lauren
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Re: Question about credit scores and collections
OK so another question- if the collector is 3rd party- is there anyo amount of arguing/ begging/ schmoozing that can be done to settle the account with the originbal creditor? Even if, on first attempt, they state that their policy is, once it's out for collections, they are out of the picture?
I did some reading just now, and it looks like they only get 50% of the monies collected from an agency- but if I want to settle with them directly, they would get all of it- why won't they do this?
I really hope no one thinks I'm a dirtbag- this is a complete mix up that has left me screwed and confused.
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| Posted 12/10/07 4:18 PM |
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luckysmom
Yes it is! Going as planned:)
Member since 6/07 5339 total posts
Name:
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Re: Question about credit scores and collections
Posted by Preguntas
OK so another question- if the collector is 3rd party- is there anyo amount of arguing/ begging/ schmoozing that can be done to settle the account with the originbal creditor? Even if, on first attempt, they state that their policy is, once it's out for collections, they are out of the picture?
I did some reading just now, and it looks like they only get 50% of the monies collected from an agency- but if I want to settle with them directly, they would get all of it- why won't they do this?
I really hope no one thinks I'm a dirtbag- this is a complete mix up that has left me screwed and confused.
I used to work for a collection agency. Yes you can bargain with the collector to try and settle the account. Ask the collector how much the company will settle for. Sometimes they will tell you they cant because the collectors work off commission sometimes they really can't settle anything. The cc company does not neccessarily only get 50% of the money. They could get a lot more than than that. Collection agencies make thier money on large accounts. It all depends on the agency, but most companies would not let an agency collect for them if they were only going to make out with 50% of what money is owed to them.
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| Posted 12/10/07 4:24 PM |
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DRMom
Two in Blue
Member since 5/05 20223 total posts
Name:
Melissa
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Re: Question about credit scores and collections
Posted by Preguntas
OK so another question- if the collector is 3rd party- is there anyo amount of arguing/ begging/ schmoozing that can be done to settle the account with the originbal creditor? Even if, on first attempt, they state that their policy is, once it's out for collections, they are out of the picture?
I did some reading just now, and it looks like they only get 50% of the monies collected from an agency- but if I want to settle with them directly, they would get all of it- why won't they do this?
I really hope no one thinks I'm a dirtbag- this is a complete mix up that has left me screwed and confused.
I used to do credit repair-I can help yuou if you want to FM me.
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| Posted 12/10/07 4:25 PM |
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