Holy Heck.. am I screwed?

[hoss1974]

So I posted a few months back I got approved for a mortgage. My credit was fine, only problem I had was coming up with closing funds. Because of a long delay that turned out to work to my advantage, funds are not an issue.

 

Here is my issue....

 

Today I get a notification from equifax that a collection was added to my account. I am thinking wtf??? So I research it. Turns out I had a sprint device I was supposed to return THREE YEARS AGO .. I figured early cancellation fees covered it. Anyway, sprint was understanding and is issuing me credit when I ship the product back (which I am)... problem is I can't get this collection off me credit file within 30 days and I should be closing before that.

 

If they pull my credit now my score may not be good enough!!!

 

Anything I can do?

 

 

 

[EnC_Plus3]

We had a similar problem, had proof that a collection would be removed...but it just hadn't been removed at the time we had our credit run for pre-approval. We were able to submit a letter of explanation along with our proof of the account being paid to the OC prior to the collection being placed. Might want to talk with your lender about it and explain the situation. Someone else may know if that's a common practice or not. We may have just been fortunate, but I'd guess it isn't highly uncommon...

[hoss1974]

I can easily show proof that it is taken care of. What I can't do is change my credit score immediately :/

[EnC_Plus3]

Are you about to close escrow and score not where it was? Maybe your lender will know something that can help you...

[hoss1974]

It's in underwriting now. I haven't been given a closing date yet. I wish it wasn't the weekend.. I would call my loan officer and ask

[BRBiz]

What did it drop your score down to?

[hoss1974]

What did it drop your score down to?

My equifax stayed relatively good. I have car loans and other creditors reporting to it. Right now it is 660 dropped from 680.

 

Transunion and experian have little info on me. All they have is two small credit cards. So both went from about 650 to 590... all over one small collection that I am having removed.

 

The timing cannot be worse.

 

This sucks

[BRBiz]

 

What did it drop your score down to?

My equifax stayed relatively good. I have car loans and other creditors reporting to it. Right now it is 660 dropped from 680.

 

Transunion and experian have little info on me. All they have is two small credit cards. So both went from about 650 to 590... all over one small collection that I am having removed.

 

The timing cannot be worse.

 

This sucks

So it dropped you below their min score most likely....Even if you pay it off and get a lettering stating so it may still be a issue.

 

My sister inlaw had a similar problem but here score stayed above the min score and the lender just wanted and letter stating the collection had been paid off.

[New2repair]

Ok, a couple of things here. Who is REPORTING the collection? Is it sprint or a collection agency? This is something that needs to be posted in the CREDIT forums. Did sprint say they would DELETE the collection?

 

 

Wait wait wait....I just read this again. If its only on your equifax, then your two other scores will not be affected. They take your two highest scores. Are you posting FAKO scores, or actual FICO scores?

[hoss1974]

Ok, a couple of things here. Who is REPORTING the collection? Is it sprint or a collection agency? This is something that needs to be posted in the CREDIT forums. Did sprint say they would DELETE the collection?

 

 

Wait wait wait....I just read this again. If its only on your equifax, then your two other scores will not be affected. They take your two highest scores. Are you posting FAKO scores, or actual FICO scores?

 

The collection agency is reporting. It affects ALL my scores. It it's actual FICO.

 

Equifax isn't as affected because they have more information on me. Three car loans (two paid off), an unsecured personal loan (paid off), furniture loan (paid off), credit cards... all timely paid.

 

Experian and transunion only have credit card info.

 

My scores before this were

Equifax 681

Experian 656

Transunion 634

 

My scores after this

Equifax 662

Experian 594

Transunion 585

 

 

I called sprint this weekend. I recorded the conversation and they are aware of that. I spoke to a Lakesha.. she promised if I paid this weekend (instead of returning the product) the collection agency would be informed immediately to take it off my credit and I could call them Monday to confirm and make sure they call the credit bureaus.

I also spoke with equifax and they confirmed they could remove it with a verbal phone call from the agency.

 

Monday morning I am calling the agency to see about them calling and removing it. If they refuse, I guess I am calling sprint and raising holy hell

 

Also I have an email confirmation that I have a zero balance.

 

[New2repair]

Well, by "take it off" your credit report, are they/you implying that the balance owed will be removed, or the entire tradeline? If the balance only shows a 0, your scores will not improve at all. The entire tradeline needs to be deleted.

 

Also, where did you get these FICO scores from, the experian one in particular?

[hoss1974]

Well, by "take it off" your credit report, are they/you implying that the balance owed will be removed, or the entire tradeline? If the balance only shows a 0, your scores will not improve at all. The entire tradeline needs to be deleted.

 

Also, where did you get these FICO scores from, the experian one in particular?

 

They said take it off entirely.

 

Experian from experian.com

 

Equifax and transunion from

 

Myfico.com

[New2repair]

Ok, The only REAL fico score,for MORTGAGE purposes, is the EQUIFAX from Myfico. The Transunion from myfico is a real fico score, but it is a model most likely NOT used by your lender. The score from experian.com is almost certainly a FAKO score, not a fico.

 

I would call sprint back, ask them to put in writing, via email, that it will be removed. Alternatively, your lender may be able to do a rapid rescore which can get this off in a matter of days.

 

So its monday morning already, did you call the collection agency?

 

RAPID RESCORE, your lender should be well aware of this. If the collection agency is going to have it removed, your lender can speed up the process

[hoss1974]

I spent 6 hours on the phone with the creditor, my bank, all three credit bureaus, and probably someone else I am forgetting.

 

I am supposed to call one more person in an hour when he gets into the office to give him my email so he can send confirmation the entire thing will be removed.

 

Thanks for the info on rapid rescore... I will definitely be checking into that.

[hoss1974]

Paid for a rapid rescore 7 days ago because my lender didn't offer the service.

 

Still no change and I am set to close in a few days.

 

I guess it's a matter of whoever gets to the bureaus first... rescore or the mortgage lender.

 

Never been more stressed in my life.

[DallasLoanGuy]

ask your lender their policy on re-pulls.

 

likely not an issue

[hoss1974]

All's well that ends well.

As of yesterday, I am officially a homeowner.

It was a lengthy four month process I do not intend to do again.

[road2freedom]

Congrats! We said the same thing after our first house.

[jak2136]

I've said the same thing after every house I've bought!! lol Unfortunately we'll be moving to a new area soon & will have to go thru it yet again and I dread it...

[hoss1974]

Congrats! We said the same thing after our first house.

I've said the same thing after every house I've bought!! lol Unfortunately we'll be moving to a new area soon & will have to go thru it yet again and I dread it...

LoL thanks... Well if I do buy another hopefully the next goes smoother, though from the sounds of it, it won't

[babyarho2010]

Congrats! At least it all worked out in the end.