Want to start improving my score

Mar 112011
 

Hello all,

 

I never paid much attention to my credit score nor did I worry about it. This has probably hurt me. I joined this forum and turn on the credit monitoring to get things back under control with the goal of purchasing a house in 1 or 2 years. My current Equifax number is 602.

 

February 2011, I carried 4 credit cards all of which were nearly maxed out. They were from Key Bank, but I believe the underwriter sold it to another, they used to be considered Gold, Platinum, and Student, but now they are all the same. Unfortunately, I opened them in 2005/2006, but when Elan took over, they are now all backdated to March of 2010, losing my history before. I was never delinquent on my payments.

 

Here are my cards:

 

Elan Financial, CL 3000, 7.99%

Elan Financial, CL 1000, 14.99%

Elan Financial, CL 500, 24.99%

PayPal, CL 700, not sure on %

 

All were at like 95% util.

 

I also applied for and was accepted for a AMEX Zync card in February (2011) as well. I prefer the rule where they have to be paid in full.

 

Wanting to get in control, I paid off every card and requested to close the 500 and 1000. I kept the PayPal and 3000 open. After lurking on these boards, I kind of wish I kept the others open.

 

I have a student loan through the US Federal Student Aid. In that, I have one blemish – a 60 day late in June when I was messing up my automatic payments and when they were due and not paying enough when the yearly price rose. Is there anything I can do about this?

 

I also found that I have a collections account against me, for medical equipment that should have been covered by my worker comp. I contacted the collection agency and they just requested my worker comp information. How soon can I expect them to correct it?

 

I have an auto loan that I have been good on.

 

I currently rent my home and have been good on that, but it does not get submitted to the credit agencies.

 

And that is it.

 

Since I have payed down all of my cards, should I expect a big boost in my credit score? And if so, when?

 

Also, with the fear of rising gas prices and my current monthly payments on my auto loan ( I have a Land Rover LR3, 13mpg), I am looking to trade it in for a new vehicle so I can save a few extra hundred a month. A dealership offered me $19k trade-in value, I owe ~$13k on it.

 

So my next steps, what do you think they should be?

 

I want to be sure the collection account is removed.

I want to request that the 60 day late be removed.

My first goal is to get rid of my vehicle and purchase a new to me vehicle, to save on gas and payments.

Should I also apply for new credit cards to up my overall credit limit?

 

Thanks for your help and I am excited to join this community!

 

- Clash

OC sold to CA who then tried getting a judgement

Mar 092011
 

Long Story:

 

I had an Auto Loan that was opened on: 2/1/2004 I was in over my head and the vehicle was reposessed on August 2005.  <- This is also the last date the OC reported.

 

Me being foolish I dodged bill collectors for several years that were trying to get the remaining balance on the Auto. Fast forward to May 2009. I was looking to buy a home and the Repo is still on my credit showing Charged Off $0 Balance by the OC. I had no problem getting approved on the home since this showed nothing was owed. During closing I get a letter summoning me to court. The creditor this was sold to is now trying to get a judgement. I rolled the dice and paid an attorney to answer the complaint for me and fight it if necessart, the main reason was to buy time incase I got the judgement was granted in their favor. I didn’t want the lender to see this and deny the loan at the last minute.

 

The attorney was able to get the collectors “attorney” to drop the suit without prejudice. Meaning if they decided later they could suit me.. he then asked If I would like to counter suit them for his time and money etc.. It was included in the original retainer. I had no problem doing the .. needless to say they decided to settle on dismissing the case with prejudice meaning they can not try to collect on this ever again.  This is a good thing. I never got a judgement for this nor did I have the pay the deficiancy balance. :)

 

I am now doing some gardening on my Good Credit. Have been ontime with ALL my bills since April 2008. I was wondering if I disputed what the OC is showing on my credit file given that I have a court document stating that this was dismissed… Is it possible I can get this removed from my credit file?

 

I am no attorney or expert and I should of asked my attorney at the time but this was a few years back. Regardless this line makes me believe that it should not be reporting on my credit file.. Any suggestions if it is worth trying to remove? The only weeds I have to pull are now weeds I grew years back since I have done so well since. :)

 

2 Mutual Release.
All of the parties to this Settlement Agreement, as well as
their predecessors, principals, related individuals, relatives, assignees, transferees, insurers,
agents, attorneys, successors, and heirs, shall be and hereby are RELEASED, ACQUITTED
and forever DISCHARGED from any and all suits, liens, debts, damage claims, judgments,
costs, expenses, obligations, demands and causes of action, whether by statute, in law or in
equity, of every nature, known or unknown, which the parties have or may have against each
other which relates to or arises out the subject matter of said litigation.

 

 

 

Short Story:

Got Auto Loan

OC Repod Auto

Charged off Deficiency balance

Sold Debt to CA

Bought a House

CA tried getting Judgement (while closing)

CA Failed getting Judgement

 

Can OC report Charge Off if CA was unable to get judgment and court docs stating this was dismissed? Refer to Court doc Line 2 above.

Unemployment opinion please?

Mar 062011
 

Hi Neighborhood,

 

I am wondering if anyone out there thinks there needs to be a reformation of the Unemployment Security System. The reason for this is the fact that we are not given a choice about having regularly appointed withdrawals from our paychecks from the time we begin to work.

It was intended to be a stop gap to help citizens in time of unexpected disconnect from work, to assist until new employment would be found. I would like to draw a comparison, and ask your opinion.

 

Well over 20 years ago, car insurance was made mandatory, (as in we cannot drive legally without it). We are obligated without choice to pay into a “shared risk” system, to protect us and the other involved persons in the case of an accident. It all sounds wonderful and even noble in some ways. But I ask you—what happens when you HAVE an accident? Does anyone come rushing to your aide, or do you have to fill out reams of paperwork, sweat bullets wondering if you will be charged for something that was not your fault, or worse that your accident is deemed unworthy of help when you are at fault, and that in any case your rates will be raised with or without cause at whatever time frame and reason the applicable insurance company can come up with? Is it not even more interesting to note that those long years ago, as soon as car insurance was made law, the cost of it skyrocketed out of all sane reasoning? That in particular reminds me of the fact that we the taxpayers are shelling out 53 Billion dollars per year in royalties to gasoline companies (C-Span-Friday 3-04), which is on top of the perfectly adequate money they are already making!

 

I don’t think I could cover someone else’s costs in the case of a car accident on my own with savings, so insurance would be necessary for me, but after INVESTING so heavily, I find it repugnant to be censured and used like some endless source of revenue, as I CAN’T afford to cover these things myself. Thank heaven I haven’t had an accident of the auto nature for a very long time.

 

But to get back to unemployment compensation, how different is it? What reasoning can anyone use to jack money from our paychecks from the time we are still kids just beginning to work, and then make us beg for the money we invested at the most vulnerable times in our lives? It is not like we ask for more than we paid in, unless we receive an extension. That is already calculated to the exact penny by Uncle Sam. Why should we have to appeal to anyone for money taken from our own pay, and shelled out to those who are considered more worthy of OUR earnings? If our tax dollars pay to run the system, there are no losses incurred to it from its support structure except the job losses themselves, and not everyone who invests is going to lose their job. So what’s the deal? I would prefer not to be upset by this, and just sublimate it somehow, but many are in a financial mess because of job loss, and now find that they can’t get or have to “pay back” their own benefits without current employment. If it was to help with future job loss, it might be profitable in a way, but some are close to retirement and not likely to find new employment. How applicable would that be? The paperwork involved is, well, a job in itself. I believe it would be better to use the money taken out of our pay for personal bank savings on our own, with interest added in case of job loss in the future, from the beginning, instead of having money funneled away from our labor, which we probably will not be able to use without going through a sometimes demeaning and further laborious process. In other words, do you think that Unemployment Security is not a cost effective method to cover stress and monetary failure FOR THE CITIZENS who pay for it? I would also like to know if that money is used for any other purpose than for unemployed individuals. The information on that seems not clearly evident to me. Exactly how does this service benefit EVERYONE who pays for it, either at times of unemployment or at retirement? Is the money transferred into Social Security retirement benefits when each of us becomes too old to work? What does it feed when we die, anything we are made aware of? If you have any information in this regard, please post it? If this is not a cost efficient system for the American citizen, then it is time long past due for the American citizen to put an end to it, by public petition and vote. After all, we don’t go around losing jobs for other people, and should not be penalized as though we did, if the insurance can’t or won’t benefit all who are billed. This process also adds to the burden of the nation’s employers in the reporting and extracting of the funds involved to be sent to the government. These benefits are not “entitlements”. They are a debt that should be paid TO US in time of need, and if deemed in any other light should be ended, the monies involved being returned to the applicable citizens or their families after death. We are all too strapped to have our hard earned dollars be filched right out of our paychecks for any other purpose, and especially without the possibility of gaining interest for our personal use. Do you suppose that Unemployment Security invests it, and wonder what is done with the possible proceeds from the possible investment? Where IS our money going?

 

Loans in seperate accounts – helpful or not?

Mar 032011
 

Good day all,

 

I’ve been slowly rebuilding my credit from a crash and burn several years ago, and looking to get a new car now.  I have about a 670 credit score (some of the reports show slightly higher).  I paid off all my cards in the past month or two.

 

I have a number of student loans with Nelnet at a 2.47% (about 9K) and 5K with direct loans.  All are current.  All my balances are paid down on my credit cards, no high limits though (500-750).

 

I’m just wondering if it would be worth it to consolidate the Nelnet loans and if that would help my score.  I don’t like how they’re like 6-7 seperate accounts for Nelnet, but I don’t know if that’s making a score difference,  and if there would be any benefit to consolidating them for the score.

 

I’m trying to qualify for a 20K car loan, and I make about 57K a year.  Technically, the auto loan part belongs in the auto loans part of the forums, so this question is mainly about the student loans.

 

Would there be any benefit to the above, or am I being paranoid?

People Rushing to Get Hybrids

Mar 022011
 

THE GOVT.’S ATTEMPT TO GET THE AUTO INDUSTRY MOVING JUST DID NOT FIGURE ON LIBYA……….I CANNOT IMAGINE WHY…

POLITICS AND OFFICIALS ARE VOTED BY YOU, THOSE WHO MADE MONEY SHORTING THEIR STOCKS IN THE AUTO INDUSTRY.

THIS LOOKS LIKE THE FINAL CHAPTER BEFORE THE CRASH.

Decisions

Feb 272011
 

New to forum and think this is a great way to help each other.  Looking for some feedback from experienced folks on decisions – currently rebuilding after a rough stretch in 08-09. Looking for fastest and most effective impact.

 

1. Ford Credit auto account

  • Current balance – ~$8K (excellent loan terms – vehicle is worth roughly 2X balance and looking to sell it now)
  • Vechile was repossessed in Dec 09 for a 60 day late – redeemed a week later and account has been in good standing since
  • Although account is current and in good standing, account shows as past due on credit reports (suspect this is dragging score down – shows as negative)
  • Option — pay off ($8K) the account and close it (this will remove past due status and potentially bump score)

2. Revolving accounts

  • Disco – $1400 bal / $4300 limit [39%] (open, good standing, use peridoically)
  • Capital One – $475 bal / $1500 limit [31%] (open, good standing, use periodically)
  • Dell – $0 bal / $600 limit [0%] (open, good standing, just paid down to $0)
  • Lowes – $0 bal / $176 limit [0%] (open, good standing)
  • VC Furniture Line – $0 bal / $1500 limit [0%] (open, good standing)
  • BOA Visa – $1612 bal / $2000 limit [80%] (closed but balance and limit reporting – great terms)
  • BOA SME VISA – $6610 bal / $8400 limit [78%] (closed but balance and limit reporting – great terms)
  • BOA MC – $10448 bal / $12300 limit [85%] (closed but balance and limit reporting – great terms)
  • Citi MC – $4138 bal / $4800 limit [86%] (closed but balance and limit reporting – poor terms)
  • Chase Visa - $742 bal / $2200 limit [33%] (closed but balance and limit reporting – great terms)

Total revolving – $23,729 bal / $37,776 limit [68%]

 

These are the biggest areas I feel are dragging score down – I have a few old medical collections (50$, 12$, 130$) that I am still disputing, but the revolving and the auto account are the big hitters.  All of my other accounts are in good standing (mortgage, another auto, student loan., etc).   

 

I am debating whether to pay off the auto account and try to put it behind me (remove past due status?), or continue chopping away at the revolving debt.  Which path will yield the best short term results in terms of scores?

 

All feedback is much appreciated!

 

 

Re-ramping up credit limits — when and by how much ?

Feb 182011
 

Hi all,

 

I went through a BK in 7/07 — I’ve got my FICO score rebuilt up to about 700.  Besides my auto loan and some student loans, I have 2 credit cards — one from Orchard with an $800 limit that I hardly ever use and one from my bank with a $2,000 limit that I try to use for a few hundred dollars a month just so it’s active. 

 

I’m not sure when I should start asking for increased limits on these cards or trying to get new credit.  I’m concerned that because I only have $2,800 in available credit — even when I just put $300 on something, that’s still a 10% ratio, so I’d like to get the limits up just so I can use a little without worrying about the ratio so much.

Since my BK isn’t gonna fall off for awhile still, I feel like my score’s about as good as it can get right now, and I’m just waiting it out…

 

Thanks!

I feel so accomplished.. yet still have a long road to travel!

Feb 172011
 

So I officially have all the baddies on my credit reports either Paid in full, Paid in settlement,  or deleted entirely.  On Equifax, which was my lowest score, in June I started with a 441 score and as of yesterday I’m to 554.  Trans Union was originally 481 and when pulled by a lender last week (morgage) was 583.  My last Experian mortgage pulled score was 604 back in November.  I’ve been sending GW letters to the last couple of collections that remain (though are paid with a 0 balance) with no success, but it won’t hurt to keep mailing the letter  right? lol.

 

My goal is to purchase a house this fall. 

 

What I have left on my reports are:  2 student loans (one with a $700 balance that i can probably pay off in 2 payments if I knuckle down, the other a 10K balance),  a new auto loan, a secured cc from capital one (500 limit that is paid off each mo) and an unsecured card with Household (300 limit also paid in full each mo).  A personal loan for 2K that will be paid off next year and finally a revolving account that is affiliated with a stupid vacation network (similar to time share) that has a $4100 bal (original CL on it was like 5200)–this item is listed as negative because i had a 30 day late in 2009 and they will not GW it. 

 

So the downer is that the auto loan and the 2 cc’s are fairly new.  I recognize that i’ll need a good pay history before they will even come into play..  but does anyone know generally how long that would be?

 

I have 2 bankruptcies (yes i was THAT bad back in the day) one will fall off this August, the other next Spring..   think either of those falling off will have that much of an impact after all this time?

 

And here are the questions I have for the next course of action:

 

Should I strive to pay off some of these good accounts? Specifically the smaller SL and the Personal loan.. they’ve never had late payments but aren’t that old either (not quite a year old) or should I just continue to pay as usual (maybe just a bit more) until it hits a certain  age and then pay them off?

 

I was once told by a gal that if you have a loan and paid it off w/in a year, they don’t really see that as a positive becuase there isn’t a good “history”.  I have good AAoA because that big student loan was taken out back in 2002 and was defered and paid via my chapter 13.. so its a good account now because the lates from back before my bankruptcy fell off due to their age.. 

 

I need to save for a downpayment for this house thing so i would prefer just to pay as usual, especially to get a better “payment history” record..  but i don’t want my debt to income ratio be the big thing holding me back now either.  (i’m at 95% on installment and 75% revolving).

 

Whats more important, getting the balances down, paid off, or paying them on time for an x amount of time? 

 

Input? 

 

 

 

 

 

 

 

 

If I were President

Jan 252011
 

I’ve decided to run for president. My first official act will

be to nationalize Walmart. I won’t change a thing except

they will be mandated to buy at least 51% of all their

products from American manufacturers.

 

End of unemployment.

End of China’s political strength.

China’s military build-up and space-race are immediately de-funded.

 

Any questions? Oh, I can’t do that? If the government can take over

GM, the banking industry, the entire health care system,and

our educational system and we get nothing in return

for this, then I don’t think anyone will complain about the

Walmart takeover in light of the consequences.

 

My second act will be to take 10% of the return on the Walmart

“investment” (estimated to be 10 trillion dollars over 30 years)

and start the American Shale, Gas, Coal, Oil and Nuclear

Investment Act and defund Saudi Arabia, Iraq, Iran and Russia.

 

Between the  Walmart Act and the Energy Act, there won’t be

enough people to fill these jobs, so ALL the Mexicans can stay.

Of course, 

with citizenship, they will have to pay taxes and get used to the

decrease in benefits, but… what the hell, they will

be Americans.

 

With cheap energy and no unemployment the auto and housing

industries will boom, completely revitalizing all the ansillary

manufacturing necessary to sustain them. By this time we will

be in a negative equity of available workers and HAVE to export

some of the jobs BACK out, but at least it will be on our terms

this time.

 

Of course, our educational system will have to be ramped up

to accomodate a more productive workforce, so we will be

discontinuing social studies, humanities, gender equivalency,

climate change indoctrination, and all American Imperialism

Awareness classes.

 

My final act will be to establish a new holiday. It will be called

the Walmart Economy In Reverse Day, or  WEIRD for short.

Every one will celebrate the day that Walmart starting doing

for America what it WAS doing for China.

 

Good night and God Bless us all.

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