Credit Card Charge-Off Negotiation

I have tried to keep up with credit card payments; however, I have 1 charge-off and 1 collection forwhich I am seeking removal.
I called US Bank to ask if they would erase my charge-off if I paid the balance in full. I told them that prior to an emergency I had honored my commitment to US Bank, but that I had a family emergency that required me to give up my career and relocate overnight.
I was told by a US Bank Recovery Managerthat due to US Bank's agreement with the credit bureaus it could not remove the negative item and that it would only state that it was paid in full.
To request reconsideration I am going to send a letter using your format detailing my family situation and stating that am trying to get back on my feet. Should this not work, what do you suggest? Should I write the CEO, or is there another way? Am trying to get my career back and don't want to be turned down on a job offer b/c of my credit score. Are there any services out there that negotiate pay for delete?
What does paid in full do anyway?
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paid in full helps ALOT over time
say 1 to 2 years
i would go with that
and establish new good credit

need advice on charge offs

Thanks very much for your blog. I learned a lot from it. However, I have a uniquesituation where I can proceed in 3 ways....
I have 6 credit card charge offs that have occured in the past 2 years. I also havea citibank credit card just about to go that route too. The total I owe on the 7cards is about $120k (I am guessing of this amount, at least $40k-$50k is from thoseexcessive 25%- 30% interest rates which put me into this quandry). I get 20-30calls a day from collection agencies which I never pick up.
I definitely do not have the money to pay them all off and have resigned to thepoint of not really needing the good credit rating anymore (my assets are in mywife's name). However, just to consider the situation more, I can go through theseroutes:
1) Settle with the credit card for 30 to 50 cents on the dollar (borrowing fromparents) and save probably $70,000. Can I increase my credit rating this way? CanI get the Charge off designations off of my report sometime?
2) Arrange to pay close to 100% of the debt (also borrowing from parents) - willthat get my credit rating up significantly (I'm guessing it to be around 450 orless). Will the charge-off designations disappear?
3) Leave the debt alone. This is my current course - though I don't know for howlong. I am self employed and not worried about garnishments, own my house (in atrust). So even with judgments, they won't really affect me because I have no realassets (at least in my name).
Of course I would like to clean this up - but if it is not favorable to me in someway, I would just leave them as be. If I proceed through 1 or 2, would thecharge-off's disappear somehow?
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i would gofor number one if i couldthat way you would be done and your accounts will show zero balances.
number two you might be able to negotiate all the lates removed if you reopen and reafirm each accounts but it is the most to pay. number three you might end up with collections and possibly litigation number has the possibility to help your scoe the mostand number come in close secondnumber 3 leaves you open to all the world of collections and possible trouble later

negotiate and settlement on a charge off account

I am trying to find someone to negotiate a pay-off for me on several charge-off's. I have the money to pay, but would like to get a good report on my credit once paid. Lexington law does not do this. Can you recommend someone are a company. There are a lot of debt consolidation companies, but I have the money now. I am unable to do this myself no matter how easy it seems.
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why not?
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Not that skilled in those tactics, better for me to pay someone. Hate to deal with creditors. Do you know anyone?
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the thing is they have to speak for you
have all your vital information
who are you gonna give that too

i guess a debt consolidation company
Debt help
i would go here and talk to an agent. see what they say
these are reputable people that i trust

Help negotiating charge offs with creditors

Do you help with charge off's and negotiating with creditors.
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i have all the info you need free on my site

if you can pay
ask if i pay in full will you remove totally from my report
if not say you will pay 30 cents on a dollar for paid in full but still on report
if not pay in full and ask them to not re date the date of last activity

if you have collections from second or third parties
use debt validation

oh
get any deal on company letter head signed by whomever you agree with
other than the last and least benificial option of paying in full with no real help

Macy's charge off credit card did not change last name.

In 2004 I returned to my maiden name. All credit card companies promptly changed my last name per my request except one: Macy’s. A year and a half ago I had moved and informed Macy’s, but they still did not change my address (and subsequently my last name). I apparently had a small balance (less than $100) on the account which I had thought was paid off, but because the last name was not current the post office did not forward any bills. 6 months later I received a call from Macy’s wanting a payment, which had now doubled due to late fees. I immediately paid over the phone, but for some reason it did not go thru, nor did Macy’s return the call to inform me so my account continued to be delinquent. I checked the account online out of curiosity a month or so later and saw the balance and promptly mailed a payment this time by check. I also wrote to Macy’s informing them of their incorrect name and address and that being to reason as to the delinquent payment, and asked to close the account. This has hurt my credit score and I was wondering if there was any way to rectify this problem. Will adding a comment help?
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all of the reasons do not fly
last name and did not forward because of last name change and move


you already paid
when you pay before negotiating the account stays on your report
get new good credit and forget abot past old bad credit

you did what i would do and that is pay and go on with your life

Charged off credit cards in Ohio.

I live in the state of Ohio and am looking to purchase a home within the next three years. Unfortunately, I came across some economic hardships a few years back and this lead to two charged off credit card accounts; one in 2003 and One in 2004. I have read articles about how severe these charge offs are on obtaining a home mortgage. I am in better economic waters now with a decent paying job. Ok so here is the problem: I have done some research about handling these charges-offs. One site suggested that I contact the creditor to see if there is any way to negotiate payment in half or in full of the amount that was originally owed. I did call the creditor directly and they referred me to a collection agency. I called the agency and informed them of my possible intentions. Was this a huge mistake given Ohio’s Statue of Limitations? I am afraid that by just contacting them, they will re-open my debt and report to the credit bureaus.
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If the collections are not on your report then yes you should have left them alone I guess.
I like to pay everything i ever borrowed off if I can. Responsible Credit Man!

so arent these collections on your report?
if they are on your report what can you do wrong?
nothing.
validate the the debt
then negotiate the debt
then either pay or dispute the debt and go on with your life.
Make sure you keep open 3 reported to a bureau lines of credit to overlap past bad credit.

single mom lost income. Credit cards charged off. Same accounts sold over and over

I had a credit score of over 750 three years ago. I am a single mom and I work around the clock.
I had gotton caught up in the credit card circle and my home was hit by Hurricane Katrina and lost all....my credit had gone down due to me not being able to pay the bills...I have many charge offs...of all I finally negotiated with and paid off. So they are showing Charge Off but paid in full.
I had my credit card company sell it to another collector and sometime three to four different companies kept selling it to another...............when I asked for proof of some because I did not remember some..they could not prove it was my debt...only my name and address...do I have to pay them?
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do the debt validation and debt validation follow up
stop the nonsense of repeated same accounts reporting

Got a lowes card charged off Ge Citi 7300

I “had” perfect credit and a very high credit score. I have never paid a bill late in my life.

I purchased cabinets at Lowes a year ago and applied for a Lowes card with 12 mo/no interest/no payment. I didn’t open the first few statements since no pmt was due.

A few months later I got a call that I was late. I explained it was no interest/no pmts. I got a third call in Dec that at first said I was late. Then the Lowes rep checked and said “you ARE under promotion and it wasn’t entered correctly”.

I admit I am remiss in that I didn’t verify it was fixed, but I received no more calls from Lowe’s, so I assumed it was ok.

In Spring 07, I received a call from a collections company. I do not know if it was Lowe’s GE credit company, or an outside company. I assumed they had outdated info and refused to deal with them. I answered no more “out of area” calls.

Shortly before my one year mark, I attempted to pay Lowes online, but my account wouldn’t allow a pmt. By now, I had misplaced my contract, so I called the local Lowes and asked them to send me a copy. It took several calls and faxes and ended up being only the install portion. By now, I was past the 12 mo date.

So I went to Lowes and talked to the head manager. He was very nice and assured me they would get it fixed. I told him it might be in collections and now it was past the 12 mo mark, but he said they might be able to undo that. He contacted GE and GE wants me to send a dispute letter, but the manager is trying to get me a copy of the contract first.

Coincidentally, one day after I talked to the Lowe’s manager, CTI, a collections company, called me at work and said I can only pay THEM now. They started to offer a lower amount, but I said I didn’t want to “settle”, as that would stay on my credit report and get reported to the IRS. I said I wanted to pay the original amount (no interest or late fees), but I wanted assurance that nothing negative would be on my credit report.

When I told them about the no interest/no pmts mistake, they said they would call Lowe’s/GE. I regret talking to them now, in case they muck up what the manager is trying to do from the Lowes/GE end.

#1 – If Lowes/GE sees the 12 mo no interest/no payments on my contract, can they legally pull it back from CTI and let me pay them? If I have to I will pay the interest, even dating back to the purchase date since I went past the 12 mo mark, but what would I need first from them to assure me they will clean up my credit report?

#2 – Any chance they will refuse to give me a copy of the contract? If they get wind that I have lost mine, will they lie and delete the no interest part? (I’m a bit worried it was never put on there, but I have hope since the one agent did admit seeing it).

#3 – If the contract does not state “no interest” and I have to deal with CTI, what should I get from CTI prior to paying? CTI mentioned a “paid as agreed”, but I see you suggest “paid as agreed and on time”. What else can I ask CTI to do to remove any trace of negative info?

#4 – Even if I get CTI to do these things, won’t Lowe’s keep reporting negative info? I would think I have no leverage to demand Lowe’s fix anything if I am not paying them.


My main consideration is in undoing the damage to my credit, not paying the least amount.

Original - $6600
Charge off to CTI – either $6600 or $6900 (couldn’t clarify)
CTI’s current amount - $7300

I know I brought this on myself by procrastinating and not following up with Lowe’s. But I feel they made the first mistake and should be willing to consider that.

Thanks for any help you can give me. (Please reply to all, so that I can get it at home).
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BO
you didnt do right on the lowes from the start
they alerted you there might be a problem and you ducked it.
that will get you burned no matter who is right or wrong.

all you can do is pay it and go on
negotiate but pay it no matter what they agree to
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You are so right.

But what should I ask either Lowes or CTI to put in writing prior to me paying them anything?

Is “paid as agreed on time” all I need to make sure my credit is fixed?

Thanks for replying – I read your blog too and you have very useful info.
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Bo
this is the best full answer for an uneven but frequent question I get
Citi is lowes
but maybe lowes can you you on their end too
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negotiate and pay bad credit. Get and keep new good credit

Hi Bo -I used your advice and sent Citibank another negotiation letter. I received delivery confirmation early this week. On Friday, I got an alert from Equifax stating that my Citibank balance had been adjusted. My balance of $1529 was completely taken off and is now $0, however now it says: "Settlement accepted on this account, Paid charge off" and of course, the account status is still CHARGE OFF. I am a little curious about this because I never agreed to a settlement. I only stated that I would pay the remaining $1529 if they removed the account from my report completely. This did, however, raise my credit score from a 598 to a 628. I am hoping that you might be able to guide me with this.. should I just let it be since it increased my credit score.. or should I take other action? Your advice would be greatly valued. Thank you for your time,
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Bo
you got lucky
leave it alone and keep new good credit going.
great job
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I will do that, thank you. Also, thanks for having a website that helps so many people. Best regards

Desperate Student with credit card problems. Charge offs.

On campus, 18yo freshman are bombarded by credit card companies and Before I knew i was in some serious debt and stressed out to the max. I know have ruined my credit and at the age of 25 my independent life is just beginning. I actually had to take some time off school b/c of the high stress levels. I am currently back in school, Graduating next year. I would like to buy a home, car ect. However I don't know where to begin on fixing my credit. This summer I did pay off four accounts that had gone to collections but I still have three accounts that are not paid also in collections. How do I get the accounts I paid, off my report? Also, How should i go about paying off the accounts in collections? Should I pay them off? Its been awhile since they were charged Off? Is this too many questions?
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Pay off a couple cards and reopen the same card with the same account number if possible.
Send them upfront goodwill money to do it.
After 1 year your score will leap.

Citibank credit card is a charge-off. How do I get it removed?

I have a Citibank credit card account that has been in charge-off status for about a year and a half. In July of this year, I paid $2200 of the $3500 balance. A month ago, using your template letter, I wrote Citibank requesting that "charged off" be removed from my credit report in which case I will pay the remainder of the balance (in 3 payments). I sent the letter via certified mail with return receipt. My question is: does it seem odd that I have not received a response in over a month? Should I give it another month or write another letter?
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write another letter and certify delivery
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I used your advice and sent Citibank another negotiation letter. I received delivery confirmation early this week. On Friday, I got an alert from Equifax stating that my Citibank balance had been adjusted. My balance of $1529 was completely taken off and is now $0, however now it says: "Settlement accepted on this account, Paid charge off" and of course, the account status is still CHARGE OFF. I am a little curious about this because I never agreed to a settlement. I only stated that I would pay the remaining $1529 if they removed the account from my report completely. This did, however, raise my credit score from a 598 to a 628. I am hoping that you might be able to guide me with this.. should I just let it be since it increased my credit score.. or should I take other action? Your advice would be greatly valued.
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you got lucky
leave it alone and keep new good credit going.
great job
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Collections and Judgments

I had an account show taken to collections and later taken to court. The one taken to court now shows up as a paid civil judgment and the other as collections. Is there anything I can do about this double hit even though it's the same account?
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They are both levels of deliquency on one account.
You were charged off then collected on.
Might help to get one off but not as much as new good credit would help.
I would dispute the item as not mine or duplicate.
Universal Dispute Form

Charge offs.

My girlfriend and I are looking to buy a house in the next couple years and we need to clean up her credit if we are to finance a house. She has accounts that are "charge-off"-ing on her delinquent accounts month after month. Is this a legal way to represent a charge off? The charge-offs have been on here credit report for 48 months, each month with a charge off indication.
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If they submit it to the bureaus and the bureaus accept the entry which it seems they have. Yes they can.
I would verify the debt or dispute the accounts if you think they are not right.
Remove completely
Universal Dispute Form

Charge offs, medical bills, collections, credit report

I have 2 charge off’s from Capital one and some medical bills in collection. The total is about 6,000 as listed on the credit report, and I would imagine it is several thousand higher with the interest that accrued since. My wife and I would like to settle and remove the items, we are just a little unsure about how to proceed. I have read much of your postings, and the steps seem quite logical as such. We have spoken to a local credit counseling agency, and they took the stand that none of these steps were feasible, and they only option we really had was to pay the debts in full; including all of the ridiculous interest that has accrued. My credit score is around 570 right now, and I would like to get it up into the 700’s in the next year or so, as we would like to get into a bigger house. Thanks for any help you can offer
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I am not sure which steps are not feasible. But I promise they all work in some cases.
I would negotiate.

If all else fails do pay them if possible.
It is best to get some relief if you pay in full with fees such as TOTAL REMOVAL.
Most people get a 35 cents on the dollar for settlements.

I would talk to the creditors. Creditors can help the counselors can not.

Chapter 7 bankrupcty. Dishcharge bills on report

Hello Mr. Majors!
In 2001 my husband and I have jointly filed for chapter 7 bankruptcy. I recently got a copy of my credit report and I saw that one of the accounts that was supposed to be discharged is listed as open/in collection, the balance and the fact that it was last reported in May of 2007!
What to do???
I have a copy of the file and the discharge letter. Can I get a copy from the court with a list of all the accounts that were discharged?
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I would dispute it as paid included in bk
see what happens and go from there
Free universal Credit Dispute From