Another settlement

Congratulations for making stubborn efforts to get out of debts gradually. I hope that you've asked for the settlement agreement in writing from Citibank. And did you negotiate with your creditors to report the account as 'Paid in full' instead of 'Paid as Settled'? I think you've done.

Anyways, just take out your credit report after you pay off the third account with Citibank and check whether your accounts are properly reported.

Regarding your FIA account, you can still contact FIA and request them to take back the account from the CA and make the payments (if you've the amount ready). Otherwise, just wait for a few days and then, you can negotiate with the CA to settle the account.

Best of luck and keep us posted.

I think Jim has done a good job in settling his outstanding debts but instead of congratulating, I should advise him to make sure that he doesn't face this problem anymore in future. Credit card debts are very easy to accumulate and it takes proper planning to avoid debts from going out-of-hand.

Settling debts will stay in the credit report usually for 7.5 years which can tank your credit score. So, after you settle all your debts, try all possible ways to improve your credit score.

We keep asking FIA to take the account back but they won't at least so far.

I am very aware that getting in debt was not the best thing to do. My husband and I have VERY good credit. Excellent. I had the same citi credit card for 19 years and wasn't late once. Two very sick kids that insurance doesn't cover for many expenses and my husband lost most of his income, we were just trying to get our kids well and keep a roof over their head.

We got the settlement letters on the other ones and will be getting one on this account too.

Greedtings Jill,

You've done well!

Just keep on settling.
King " Kash" Jabba Labbba

Hey congratulations. Fabulous settlements.

Hi Jill,

About asking FIA to take back the account from the collection agency, make it clear to them that you're ready with the payment but would only pay if the account is taken back ( do it only if you've the payment ready with you!!). Keep negotiating. I hope they'll soften up and agree to your proposal. Keep us posted.

why not settle with CA instead of FIA? Why is FIA taking back account needed?

Hi Ruby,

The reason I told Jill to ask FIA to take back the account is that as soon as the account is sold to a CA, they report the account as charged off to the credit bureaus. The same account will have 2 entries in the credit reports. Even if you pay off the CA and ask to remove the account from the CR, the account with the original creditor will remain in the CR and may stick to the report for 7.5 years.

Yes, FIA would not budge from 30% for me and I took it down to the last day. So, I settled at 30% at chargeoff and glad I did. CA's can be downright nasty...and if they decide to sue, you then have public record for all to see.

what is the normal charge off time with FIA?

Quote:

You can still settle after chargeoff with the CA. CA's are nastly liars, but you can still settle with them, sometimes even less than the OC. Just get everything in writing and do not make any payments over the phone - money orders only!