CA torpedoed my credit... too early though?
Date: Wed, 06/30/2010 - 09:52
I'm so happy there is this form/outlet for my situation. I cannot thank you all enough, in advance, as I know you all are passionate and know what you're talking about here.
I'll be brief, as I know you guys only care about 'the facts'.
-I finished grad school about a year ago, couldn't find a job, am living at home (I'm 29 years old), starting on another grad degree as well as my dream job at the very end of August. All that to say-I'm broke, completely and totally, but DO pay ALL of my bills on time and maintain my finances (meager though they may be!) well.
-Just found out that a medical bill from July 2006 (incurred in Texas) has gone to collections. I was (foolishly, I know now) paying $10 a month on it faithfully. I never missed a payment though, and have documentation of this.
-In October 2009, this collections outfit (in Florida) torpedoed my credit. They said they attempted to contact me (I'd moved a couple of times since the hospital visit, within Texas) but I only found out post facto that my credit had been affected. I remember getting ONE of these letters, in December of 2009, right before I moved back to Tennessee.
-I talked to the collections outfit yesterday and they said there was nothing they would or could do to fix my credit-my fault, I'm to blame, I'm an evil person, etc. They'll settle (obviously!), and will continue to hit my credit every month until I do settle. But again-they'll do nothing to fix what has already hit my credit.
-I did nothing wrong here-it seems to me they jumped on the 'nuclear option' to get my attention and get me to contact them so as to try and collect this debt, which I agree-I legitimately owe; I just haven't been able to, since or now, pay it in full. I'll make payments, substantially higher (heck, $100-200 a month, if that will get this off my credit and me in someone's good graces) but this outfit said unambiguously that NO monthly payment amount would stop this negative reporting on my credit every month. Settling with them was the ONLY option.
Okay, I tried to keep it brief, really I did. Any advice? Are they in the wrong here? Is there ANY way I can get my credit repaired? I'm a young guy, just getting started in life... and these guys have dealt me a hard, hard blow over what I feel to be a technicality. I'm in quite over my head. (Oh, and is it of any consequence that my credit report does not list this as a medical debt, but just a generic collections debt? I've read conflicting things.)
My main concern here is over the damage already done-I've got a few options, going forward, but I want to get the damage repaired first and ASAP, then make plans for going forward.
Seriously, thank you all.
The same thing happened to me, I had a hospital bill and was pay
The same thing happened to me, I had a hospital bill and was paying 10 every month, that was all i could afford, but the hospital turned it over anyway. But the difference between you and me, is my credit was already in the toilet, and now I haven't paid a dime since they turned it over. I will eventually pay it, but I have other things that I can payoff first. Good luck, maybe someone will come along and can point you in the right direction to get yours cleared up.
It's true that paying off an account that has gone to collection
It's true that paying off an account that has gone to collections doesn't improve your credit score much. From your post, I assume that the medical account is an old one which adds up your woes. But, there is no alternative to paying off the debt in the first place.
Contact the collection agency and go for a settlement. The collection reps will initially decline your offer so, try to talk to a supervisor. If you're persistent with your negotiations, they might finally agree. Once agreed, take the agreement in writing. Try to pay the amount as quickly as possible.
Once you're settled with the account, you can work harder to improve your score. Paying your future bills on time will help you to improve your score. Best of Luck!!
It they are reporting correctly and wont do a pay for delete, no
It they are reporting correctly and wont do a pay for delete, nothing will remove it except time.
