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    zawatska's Avatar
    zawatska Posts: 226, Reputation: 12
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    #1

    Jul 11, 2008, 11:32 AM
    How long will my credit be bad?
    Hi everyone, I have a credit card that is already in collections, and they gave me the option of a "charge off". The total amount I owe is about $570, but their saying if I pay $400 within the next two months that my account will be closed, and out of collections... So I'm going with the charge off option just because I don't want to deal with it anymore... my question is, How long will this debt be on my credit? The credit card company told me that within 90 days, if I chose to, they would issue me a new card/account. Is this true?
    farmgirlmo's Avatar
    farmgirlmo Posts: 107, Reputation: 2
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    #2

    Jul 11, 2008, 12:00 PM
    Quote Originally Posted by zawatska
    Hi everyone, I have a credit card that is already in collections, and they gave me the option of a "charge off". The total amount I owe is about $570, but their saying if I pay $400 within the next two months that my account will be closed, and out of collections... So I'm going with the charge off option just because I don't wanna deal with it anymore...my question is, How long will this debt be on my credit? The credit card company told me that within 90 days, if I chose to, they would issue me a new card/account. Is this true?
    Some CC companies will issue a new card. This account itself will be there for 7-7.5 years from the date of delinquency.

    Some CC companies will remove the negative account once you have a good account with them.

    You'd be better to settle with the CC company than have it turned over to a CA.

    What company, if you don't mind sharing?
    zawatska's Avatar
    zawatska Posts: 226, Reputation: 12
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    #3

    Jul 11, 2008, 01:06 PM
    Capital One credit card... not sure which collection company and thanks! And 7 yrs. Is a lonnnnnnng time!
    TheCleaner's Avatar
    TheCleaner Posts: 152, Reputation: 3
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    #4

    Jul 11, 2008, 03:25 PM
    It is Capital one... Not a good idea to go with te charge off, that bank is pure evil, if you do that they going to keep reporting that account as CO for the next 7 years wich it will kill your credit for many years to come, Capital One wants you to be in the subprime market as long as possible.

    If I were you I would go with the 570 payment and make sure that they only list the account as late, that will not harm your credit after 1 or 2 years

    Carl.-
    zawatska's Avatar
    zawatska Posts: 226, Reputation: 12
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    #5

    Jul 14, 2008, 08:13 AM
    Thanks everyone... yeah an extra $170 is no biggy, lol its all late charges. My limit is 300! I need to call them and tell them that I'll just pay it off, no charge off... I think their under the impression that I'm doing the charge off though... I can change my mind, right?
    carrieinmarlow's Avatar
    carrieinmarlow Posts: 9, Reputation: 1
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    #6

    Jul 16, 2008, 06:53 PM
    I would take the charge off- even if it's on your credit record. Also, don't be foolish and take another card from them- you'll be zapped with a high interest rate...
    farmgirlmo's Avatar
    farmgirlmo Posts: 107, Reputation: 2
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    #7

    Jul 17, 2008, 07:31 AM
    Quote Originally Posted by carrieinmarlow
    I would take the charge off- even if it's on your credit record. Also, don't be foolish and take another card from them- you'll be zapped with a high interest rate...

    Curious for your reasoning of taking a charge off?
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #8

    Jul 17, 2008, 07:46 AM
    Quote Originally Posted by farmgirlmo
    Curious for your reasoning of taking a charge off?


    I'm not Carrie but I would guess because the debt is $570 and they have offered her a payoff now of $400 - plus she doesn't want to spend time, money, energy in Court.
    TheCleaner's Avatar
    TheCleaner Posts: 152, Reputation: 3
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    #9

    Jul 17, 2008, 04:53 PM
    You both just don't get it, usually I always recommend to keep your money but this time trust me go with the 570 it will save you trouble in the future. She didn't say pay off she said charge off that's a difference
    zawatska's Avatar
    zawatska Posts: 226, Reputation: 12
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    #10

    Jul 20, 2008, 04:56 AM
    Yeah, I'm paying the whole thing... for my own morals kind of, and because I don't want to worsen my credit by going with the "charge off". I'm the one who charged it up, so I'm going to pay it all. I just slacked and basically didn't care when I kept getting those late charges and over balance fees tacked on there.. I kind of just gave up on trying, but now its getting old. And they won't stop calling! Lol. Their working with me, I'm sending them $70/week, so it should get paid off in no time! :) Thanks everyone!
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