[ms224]

I'm trying to fix some issues I have due to basically life collapse a few years ago.

I have two credit cards that are listed as charged off from two years ago, about 5k each.

So far they haven't come after with collecters etc. I'm trying to read up on how I can settle out with them but I keep seeing either clickbait or confusing (to me) info.

If I send them a pay to delete letter for 5% of the original total does that reset some clock of limitations? does it benefit me somehow?

Credit score is listed as mid 600s. Main reason why I'm approaching this now is I'd like to buy a new(er) car and would like a loan.

There are a couple of threads from the past how to settle it out, but is this the right approach?

[TheBMan]

(10-22-2017 10:22 PM)ms224 Wrote:  

I'm trying to fix some issues I have due to basically life collapse a few years ago.

I have two credit cards that are listed as charged off from two years ago, about 5k each.

So far they haven't come after with collecters etc. I'm trying to read up on how I can settle out with them but I keep seeing either clickbait or confusing (to me) info.

If I send them a pay to delete letter for 5% of the original total does that reset some clock of limitations? does it benefit me somehow?

Credit score is listed as mid 600s. Main reason why I'm approaching this now is I'd like to buy a new(er) car and would like a loan.

There are a couple of threads from the past how to settle it out, but is this the right approach?

In this day and age you wont have trouble getting a car loan w/a credit score in the mid 600's. I'm not sure how you havent been hounded by creditors yet. If they start hounding you and you want to end it they usually settle for somewhere in the 30% range.

[ms224]

I kinda fell of the earth for a while, not in a good way though.

I told them I was considering bankruptcy when this happened, just never got around to it and didn't worry about them.

I paid my phone though.

I have the money to buy a car just don't want to blow it all at once if I can get a 4-5% interest rate. Nothing super special.

I guess the question is, if I offer them a repayment of any sort will that affect the statue of limitations here (6 years on cc debt) or ???

This really isn't my area of expertise.

[Hypno]

My sense is that there is no benefit to you to wake sleeping dogs. The FICO score reduces the relevance of these things more and more as time goes by.

Find out what your credit score is. Capital One is advertising a free app that gives you your score. Realize that each credit bureau will give you a slightly different FICO score.

Once you know your score, talk to a few lenders and see what they say. But a better plan is to buy a cheap, old vehicle and pay cash. Honda Odyssey minivans >100,000K are excellent vehicles and a lot of moms sell them at the 100K mark, single owner, cars that have been babied.

[Sonoma]

If you're military or recent grad some manufacturers offer you a bogus low interest rate near regardless of credit score

[Wayout]

(10-22-2017 10:22 PM)ms224 Wrote:  

I'm trying to fix some issues I have due to basically life collapse a few years ago.

I have two credit cards that are listed as charged off from two years ago, about 5k each.

So far they haven't come after with collecters etc. I'm trying to read up on how I can settle out with them but I keep seeing either clickbait or confusing (to me) info.

If I send them a pay to delete letter for 5% of the original total does that reset some clock of limitations? does it benefit me somehow?

Credit score is listed as mid 600s. Main reason why I'm approaching this now is I'd like to buy a new(er) car and would like a loan.

There are a couple of threads from the past how to settle it out, but is this the right approach?

Your credit is already damaged. There is no benefit for you to contact them and settle anything. Forget about them,they can't do anything! After 7 years this will falls off your credit report. Meanwhile try to get a couple of secured credit cards so you have some positive credit history going.

[scubadude]

Sending them an offer letter does not restart the SOL but it does wake up the proverbial sleeping dog. The only thing that resets the SOL is making a payment. Any payment. They play dirty about it too. i.e. you get a call and they say this is John from your CC that is 10k past due. If you pay just 5 dollars today it will keep it from being sent to the legal department. This would reset the SOL.

There are also two different SOL's. The SOL for which they have legal means to collect such as sue and win and the reporting SOL. For example my state has a 3 year SOL for debt. This means at 3 1/2 years if they sue me I can show the court that it is outside the SOL and it will be dismissed. However, it can still be reported to the reporting agencies for usually 7 years. Find out what your states SOL on collections is before you go any further.

Next, when they do start harassing you, record all the calls. There will no doubt be many violations of the Fair Debt Collections Practice Act (FDCPA). These are a statutory 1K fine, just need proof and to file a small claims complaint.

I was in a worse situation that yours several years ago. Learned everything I could and cleared it all up and got paid along the way by the collectors for ciolations. The best site is http://www.debtorboards.com/ They are awesome over there. It's really not that hard to learn all this and basic civil procedure and court filings. I'm not a lawyer and I didn't screw it up too bad. Way I looked at it was at worst I would be out filing fees if I lost. I'm in healthcare so let me compare this to medicine. You don't need to go to a Dr for a small cut or cold, you can treat it yourself. You do need to go for more serious stuff like broken bones, cancer, surgery etc. Taking care of these small things is basically the common cold of the law world. Not too much you can goof up but don't go thinking you're a lawyer and start treating your more serious problems like a know it all.

[scubadude]

Here is the SOL for collections by state https://www.creditcards.com/credit-card-...s-1282.php