I happily found this forum about five or six years ago and it was an amazing source to clean up a few baddies I currently had on my credit reports as well as an amazing source for new credit line sources. Thanks to all advice and actions taken during that time I managed to raise my scores from the mid 600 range to the upper 700 range and prior to the housing bubble collapse and the start of the down turn in the economy I had achieved close to 200,000 in available credit, cards, lines of credit and such. My utilization was below 15 percent and my business was starting to recover from th effects of hurricane Katrina. During this time period I decided to refinance my home to a home equity loan, fixed rate and accerated to payments to 15 years. I pretty much had to build my home from the ground up after the hurricane and even though insurance paid, I refinanced a pretty good portion of costs that did not get fully covered by insurance. At the time, my home appraised for 475,000 and I financed the additional along with what was left on my original note to come to 285,000 on a fixed rate 15 year note. My hope was to pay additional each month and hopefully accelerate to the payoff to 9 years. The price for doing so also meant that my monthly note went from 1,300.00 to 2,500.00.
Well as luck or fortune or destiny, or karma, or what ever goes, the economy starts to go south along with the housing bubble bursting. The first thing that happened was several of my larger available credit cards suddenly dropped my available credit, lost about 75,000 in less than two months, so my utilization becomes higher, although no additional charges have been made. Well, then my scores take a hit and then a few of my mid level cards take notice and I am sure are also fearful of the economy and they start to adjust available credit lower as well. Within a 6 month period I went from close to 200,000 to just over 50,000 and my utilization went from under 15 percent to now close to 60 percent, scores fall again, dominos keep falling and then we get the BP oil spill that affects the economy of the gulf coast dramatically and my business starts to see a drop of 30-40 percent within the first two months and never has fully recovered to pre spill numbers. Yes, I filed a BP claim, but as of yet I still have not receieved the first penny. Well, one thing leads to another and now I am having to rely on credit even more as income is dropping, but I am still making all payments on time. By the time the spill is officailly considered stopped and the clean up is complete, I have taken a 150,000 dollar loss in business revenue and now I am sitting at 80 percent utilization on my credit accounts. My scores have now dropped back into the mid to upper 500 range and as I am struggling to keep making payments, contacting the credit card companies about my situation, the final blow comes in the form of a "your practice falls outside the normal ranges on certain codes" medicare audit. Good old Obama Care at it's finest, CMS has to find ways to make up for the money being siphered away and they do so by implementing pre-payment audits on practices. This drags out for almost a year and even with fighting Cahaba GBA tooth and nail on every charge, on every patient and even taking it before a judge law advocate on many, my losses, or more so their recoupment to help their obama care losses are over 50,000. The devistating part of the pre-payment is that it shuts down the normal monitary flow from CMS , so my practice sees another 30-40 percent of monthly revneue come to a halt.
Well now my mortgage is in jepardy, credit union refused to do any modification what so ever and proceeded straight to forclosure. I was advised by my attorney to file a chapter 13 BK just to stop the sale and by time to work out something with the credit union, then volentarily dismiss my case after I reached some agreement on my house. I did and found a way to catch up the past due on my home, selling things, borrowing from family and let the BK drop. Well, that was the final straw for most remaining credit card companies as four more lowered my available to just above my balance, five closed my accounts even though still none were late and my scores droped more. Well, having to catch the motgage up, trying to keep my practice open and just survive payments finally started to get missed.
So, here I am a few years later and I am trying to dig out of this huge mess. I have over 10 charged off credit card accounts, I was able to keep 3 from closing and paid settlements or paid in full on several others. SOL in Mississippi is 3 years and all of my charge offs are going on 5 years. My credit report is a picture of disaster as compared to six years ago. I do have a few good trade lines, couple of car payments, couple of business loans under my SS# and my boat purchase. I have three CC's current, but minimal available on them. My mortgage is on time and has been for a little over a year now, but has the lates and forclosure attached earlier. I have 5 collections, cable, that I wil fight as I closed the account yet was charged for thee more months even though there was no service to my home, a business cell phone under my SS#, and two medicals that I can't figure out where they came from.
I am determined to come out of this funk that I have been in for the past few years and find my way back into the 700 club to stay. I pretty much know the route to take for the medical collections, and I feel like the other two will be easy to remove as I have proof there was not cable into my home during the months I was charged for. The ones that I have no clue on how to address is the charge offs that are still being held by the OC's. I have been trying to set aside money to make offers to settle and pay for delete on as many as I can, but initial offers to a few have come back null at this point. I know that most will fall off naturally in 2 years, but I just can't sleep at night knowing that my scores are where they are and in the case of an emergancy, I would be out of luck in being able to borrow anything.
Any suggestions are welcome and any advice is as well. I am not new to repairs, but the minimal I had to do six years ago pales to the crisis I find myself in now. Thanks up front to all who read and make suggestions.