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philc3372

Guidance on best way to approach paying an old CO?

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I've searched around the boards haven't found anything that specifically addresses my situation, so I'm posting here hoping for some veteran advice.

 

In mid 2015, my SO's small business took a significant hit due to tax errors by an unscrupulous CPA. We did without his second income for about 6 months, during which time I was the sole breadwinner for our family of 4. With a lot of belt tightening and cleaning out emergency fund savings, I kept the mortgage current and the family fed during that time. But, I couldn't find a way to pay the two credit card minimums I was carrying (Chase and Cap1). Both charged off even though I was in constant contact trying to get my act together. Anyway, Cap1 did finally work with me on a repayment plan but would not PFD. I finished repaying that CO in August 2017. Chase charged off without working with me at all. Would not negotiate with the payoff amount, would not take partial payments over a few months like Cap1 did.

 

Now, I know a lot more about credit management today than I did then thanks to these boards!  And I was only dealing with those companies' customer service reps on the phone then. I didn't track anything in writing, which was not smart, but here we are.

 

Since then, SO kept the business afloat; it rebounded and is doing well. I was promoted at my job and have much higher income. I have a Discover card ($7.5k limit) and credit union Visa ($18k limit) that I use only to maintain credit and pay off each month, so my scores have rebounded. Emergency fund is back in place. But ... there's still that lingering Chase CO from 12/15 ($2,026) which is stopping my score from climbing to where I want it to be. We are ready to buy a new home for our growing family, and are pre-qualified for that mortgage, but my lender has advised that I pay Chase. We've not found a home to buy yet, and that may take months given low inventory in our area, this is all just preparation work.

 

I'm not clear on the best way to approach repaying Chase. I've read that PFD is essentially nonexistent these days, not that it would stop me from trying. Is there any wisdom in explaining my 2015 hardship and offering the full amount for PFD? Is that a waste of time and there's a better route? If I can't get a PFD, does it make sense to offer less money in return for showing PIF even though it's a CO? If so, is there a good percentage to use as a jumping off point?

 

Thank you for all you do! Appreciate guidance on this from folks who have more experience.

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Chances are better than good that Chase has long ago sold that paper off and they cannot even accept a dime for what was charged off.  You need to know who currently owns the paper.  Not all sales result in reporting (yet another reason to be proactive with well-written and thorough disputes even with an OC, since the notice of dispute SHOULD follow with a sale and the new owner is thus on notice from Day One). 

 

When was the last update to the report?  And what amount was reported as being due at that point in time?

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Thank you, that makes sense. Last update on report was 11/16 in the amount of $2,026. Where should I start in tracking down who owns the paper?

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19 hours ago, philc3372 said:

Thank you, that makes sense. Last update on report was 11/16 in the amount of $2,026. Where should I start in tracking down who owns the paper?

 

I would first contact Chase. I bet they still have it. If they sold it they need to update to reflect the sale and zero out the balance.

 

 

Edited by dvd

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If it was sold, your credit report will show a zero balance for Chase and a notation like "sold to other lender." The buyer can then report on their own. Chase isn't much for negotiating, and they do not have arbitration in their agreements. If it's that important, and Chase owns it, just pay it. If it was sold you'll have a bit more leverage because they only pay maybe 3-4 cents on the dollar for this junk.

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PFD with an original creditor isn't very common. Best you might do is get them to take 20-50% off and that'll get your credit report to show $0 balance. Try to do it well in advance so you can verify reporting and dispute any inaccuracy 😉

 

The strange thing with Chase is they had a scandal back around 2013 with their debt collections, or was it debt sales, practices. Ever since then I have yet to see a single lawsuit filed in my state over a Chase credit card debt. Not even one from a debt buyer.

 

I noticed this trend 2-3 years ago and since then I've always figured they'll start back up next month, but I suspect they've yet to resume selling. Then again I'm not sure what the how long they usually hold on to these before they file suit.

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Thanks, much, everyone! CR definitely shows Chase and not another company. I'll reach out to them to negotiate down a bit to get PIF recorded.

 

Next question: What is the best department to write to concerning working out the PIF?

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On 5/3/2019 at 10:36 AM, legaleagle2012 said:

If it's that important, and Chase owns it, just pay it.

This is also a good point.

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Also, what state is this? If you defaulted in mid 2015, this could be past the SOL

Georgia


Sent from my iPhone using Tapatalk

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I strongly urge you to NOT contact the OC at all unless and until you have tried to get this account deleted from your reports. It MAY be reporting ONLY because it is "stuck" in their computer system. Follow the guides.

https://whychat.me/GUIDEBOOK.html

 

https://whychat.me/SOL PROGRAM GUIDE.html

 

Please note the initial dispute letter phrases to be used for an OC reporting;

https://whychat.me/initdispltrsol.html

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6 hours ago, philc3372 said:

Thank you @Why Chat!

 

WhyChat's guide is very informative.

 

I would keep your hopes for a PFD from Chase to a minimum. PFD is nearly impossible from banks and I never saw anyone get one from a bank.

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