Advice on a probably simple case

[Aildvolta]

What is the name of your state (only U.S. law)? Ca

Hopefully I am in the right area, as I am brand new to the site.

Here's my simple scenario. I am currently trying to raise my credit score, and have an account in collections for just about $1100. The debt collector opened this debt Oct 16, 2014. (I think it's an old medical debt from when I was 18, but I'm not positive). At least that is what Credit Karma (is this site even legit?) is telling me. My question is essentially how to go about getting rid of it. The debt already shows on my trans union report. Should I contact them and try to negotiate pay see if they will remove it from my score? Should I wait 7 years for it to just be removed, and work my credit at a different angle?

I'm very new to all of this, and just trying to make the best moves for my credit. $1100 is a lot of money for me, but I figure I don't have much of a choice.

Thanks for the help!

 

[adjusterjack]

I am currently trying to raise my credit score, and have an account in collections for just about $1100. The debt collector opened this debt Oct 16, 2014. (I think it's an old medical debt from when I was 18, but I'm not positive).

That date might not be relevant. It's the date of the default that starts the running of the reporting period.

At least that is what Credit Karma (is this site even legit?) is telling me.

I don't know anything about Credit Karma but you can get all three of your credit reports (transunion, equifax, and experian) for free at

https://www.annualcreditreport.com/requestReport/landingPage.action

My question is essentially how to go about getting rid of it.

You don't "get rid of it." It stays on your credit report for the 7 years from the default no matter what you do. If you pay it off the entry becomes less negative and your score increase slightly.

What is your score now?

Any other negative items?

Should I contact them and try to negotiate pay see if they will remove it from my score?

You can negotiate a lump sum cash settlement if you like but it still won't be removed, as I wrote above.

Should I wait 7 years for it to just be removed, and work my credit at a different angle?

The "angle" you work to improve your credit score is you pay off all your debts and don't incur any new ones.

I'm very new to all of this, and just trying to make the best moves for my credit. $1100 is a lot of money for me, but I figure I don't have much of a choice.

Well, you do but, other than paying the bill, they are all bad ones.

My guess is that the collection agency will tell you that your debt is a lot more than the $1100 shown on your credit report. Those vultures add interest and attorney fees and have no obligation to settle the account unless you pay what they say. They always have the option of suing, getting a judgment, and garnishing your paycheck. By then the debt could be 3 times what you think it is.

You need to get this settled as soon as possible.

 

[Zigner]

You don't "get rid of it." It stays on your credit report for the 7 years from the default no matter what you do. If you pay it off the entry becomes less negative and your score increase slightly.

Actually, while not common, a "pay for delete" can be negotiated.

 

[Aildvolta]

That date might not be relevant. It's the date of the default that starts the running of the reporting period.


I don't know anything about Credit Karma but you can get all three of your credit reports (transunion, equifax, and experian) for free at

https://www.annualcreditreport.com/requestReport/landingPage.action



You don't "get rid of it." It stays on your credit report for the 7 years from the default no matter what you do. If you pay it off the entry becomes less negative and your score increase slightly.

What is your score now?

Any other negative items?

Thanks for the response, I'm trying to get my scores from anualcreditreport but it's not working for me at the moment. Credit Karma states that I am at 550 for transunion and 666 for equifax. I have two other very small debts on collections as well, but when I called and tried to settle them, they both told me they sent the account over to the company holding the "$1100" dollar account. So that's why I'm getting confused as to what I should do. Maybe once I'm able to get my real credit report things will be more clear as to what is going on? If these debts exist, i'm not sure what they are for because I have no debt from the last few years of my life. I also just had no problem getting approved for an unsecured line of credit through my bank lately. So i'm not sure what the deal is. I figured with a score of 550 I'd be sort of screwed.

 

[Zigner]

Thanks for the response, I'm trying to get my scores from anualcreditreport but it's not working for me at the moment. Credit Karma states that I am at 550 for transunion and 666 for equifax. I have two other very small debts on collections as well, but when I called and tried to settle them, they both told me they sent the account over to the company holding the "$1100" dollar account. So that's why I'm getting confused as to what I should do. Maybe once I'm able to get my real credit report things will be more clear as to what is going on? If these debts exist, i'm not sure what they are for because I have no debt from the last few years of my life. I also just had no problem getting approved for an unsecured line of credit through my bank lately. So i'm not sure what the deal is. I figured with a score of 550 I'd be sort of screwed.

The report you're getting from Credit Karma is your "real" report. The scores they report aren't necessarily the same as when creditors run your credit report, but that's because the scoring system(s) are proprietary.

 

[Aildvolta]

The report you're getting from Credit Karma is your "real" report. The scores they report aren't necessarily the same as when creditors run your credit report, but that's because the scoring system(s) are proprietary.

I see! Well, in any case I suppose I will have to call up this collection agency and have them send me what information they have about this debt so I can get it taken care of.