Auto Loan
Date: Mon, 04/05/2010 - 08:04
I don't know if this is the right place for this question, but here goes.
I have an open auto loan with Capital One. I totaled my car in January and they want the entire remaining balance (I didn't have GAP) of $1329. I have $1200 at this point (a loan from a friend), but that is about it. I have until the end of the month, but money is already tight. They said I can settle for $800, which I am considering, but how is that going to effect my FICO? I have an excellent payment history with them and have been working to get my score back up and I don't want this to be yet another blip on my credit report. I'm hoping I can at least have them put it as Paid in Full for Less than Balance Owed or whatever, but I doubt that would happen. I'm sure they'll make sure Settled is used. Any help would be greatly appreciated. Thanks!
I have an open auto loan with Capital One. I totaled my car in January and they want the entire remaining balance (I didn't have GAP) of $1329. I have $1200 at this point (a loan from a friend), but that is about it. I have until the end of the month, but money is already tight. They said I can settle for $800, which I am considering, but how is that going to effect my FICO? I have an excellent payment history with them and have been working to get my score back up and I don't want this to be yet another blip on my credit report. I'm hoping I can at least have them put it as Paid in Full for Less than Balance Owed or whatever, but I doubt that would happen. I'm sure they'll make sure Settled is used. Any help would be greatly appreciated. Thanks!
If the account shows up as settled then it would certainly make
If the account shows up as settled then it would certainly make a ding in your report. Try to negotiate if they would remove the item from your report once it is paid or update it as 'paid in full' instead of 'settled'.
