Newbie Needing Some Basic Help

[jrballer]

Greetings:

 

I have been reading CB for the last year however this is the first time I have actually joined and posted.

I have already read and done all the basics and think I am ready to move forward but could use some basic starting advice.

 

Here's the simple gist of my situation: (4/8)

Fico Approx Score is 570-600

 

1st Item:

 

BECU credit Card:

Account Type Credit Card - Credit Union

Balance $1,124.00

Past Due $0.00

Date Opened 6/1/2009

Account Status Closed

Mo. Payment $0.00

Payment Status: Charge-off

High Balance $1,124.00

Limit $1,000.00

Terms Revolving

Reporting to EX, TU, EQ

SOL is already reached.

DoFD 07/2011

Last Update 01/2012

Fall off Date 07/2018

CA is Renton Collections who sent me a couple letters in 2012 and 2013 and they haven' t reported to CRA.

The account hasn't been sold to the CA.

2nd Item:

Renton Collections:

Balance: $483

Placed for collection: 04/18/2013

Responsibility: Individual Account

Account Type: Open Account

Date Updated: 11/01/2013

Original Amount: $431

Original Creditor: EVERGREEN RADIA LLC

Past Due: $483

Fall off Date: 09/2019

I'm planning on using the Why's Chat Method regarding this item.

I also have a paid Auto Loan for $15k over 1 year and a Secured CC with Wells Fargo with $300 limit that was just recently closed.

So currently I have no open revolving acct that are helping me.

Questions:

1.) Which item should I attack first?

2.) Is it worth even attacking the BECU card with my limited credit history or is it more likely to hurt me in the long run?

3.) What's the best method for my situation? DV with CA or DV with CRA or both?

I intend to get another Secured CC to add as a revolving acct to boost my score, however I would like to remove these sigma as I am in the market for a house and new auto loan.

I would appreciate any expert help you could give me.

Thanks

 

 

[tweak]

Welcome to Credit Boards!

 

Here is some good reading material:

Master Credit Repair thread

 

Is the Renton collection for medical?

If so, follow the WhyChat method.

And post for help in the medical forum.

Do NOT do any other disputes while working on the medical CA.

The first steps are to opt out, and to get old addresses deleted from each CRA - before disputing anything.

 

If Renton is not medical, read up on the 1-2 punch:

1-2 punch flow chart

 

Original Creditor (OC) charge-offs (COs) - like the BECU account are usually very hard to get removed.

I would try the Renton collection first, and hold off on BECU.

The danger of attacking the BECU tradeline is that they may update again (and may start updating monthly).

Although this will not change the DoFD or Fall-off date, it will hurt your FICO scores, as the CO status will appear more recent to FICO.

Note that a mortgage broker may require you to pay this charge-off.

 

How many open credit cards do you have?

Three revolving accounts is ideal for rebuilding.

But do NOT apply for any new credit for 6 months before a mortgage app.

Resources on secured credit cards:

What are your guy's 3 favorite secured cards and why?

The Master Secured Credit Cards Thread

Look into credit unions for an auto loan.

 

 

Good luck!

[jrballer]

Hi Tweak:

 

Thanks for the info.

I have already opted out and had my addresses updated.

 

The tricky part is that both the Medical and BECU charge off is at Renton Collections.

Is there anything special I should know before continuing the Why'sChat Method?

 

Thanks so much for the info involving revolving credit.
Right now I only have one line but I'm planning on opening a couple new lines ASAP.

[VintageWillow]

For Why Chat's method, just make sure you follow the guides

 

http://whychat.5u.com/GUIDEBOOK.html

 

and if you hid any speed bumps, or just want to double check the steps you take, you can start a thread in the medical forum, and Why Chat will guide you along the process.

 

Good Luck!!!!

[jrballer]

6/1 Update:

 

Followed WhysChat Method and got my medical collections to be removed from TU!!! YAY!!

Thank you so much.

 

 

Now for the more challenging one:

BECU COs

 

Should I attempt the 1-2 Punch?

I know the DoFD is 7/2018 so should I just be patient and wait 3 more years?

 

What are a couple suggestions?

[tweak]

Now for the more challenging one:

BECU COs

 

Should I attempt the 1-2 Punch?

I know the DoFD is 7/2018 so should I just be patient and wait 3 more years?

 

What are a couple suggestions?

 

You can't 1-2 punch an OC - because DV letters are for CAs / JDBs and not for OCs.

 

What state are you in?

What is the SOL for your state?

If you poke BECU within SOL, they may respond with a lawsuit.

[Second Chances]

Congrats!

 

As to BECU, tweak laid out the dangers pretty well earlier. OC COs can be very hard to get off, and you risk having them start updating monthly again. You'll have to decide if that is a risk you want to take.

 

If you do decide to take that risk, I would open up a couple more revolvers, first. Having at least 3 open is recommended for FICO, and you'll want to have them open before you CO is updated and looks more recent. Just my opinion.