I have a credit card with first premier bank and I fell behind 120 days. I am trying to bring the account current and they are willing to help. . My current balance is $683 and they are willing to settle for $303.63. The representative told me that if I was to settle then I would no longer be able to use the card. ( I have no desire to keep this account anyway) but If I pay them in full I would still be able to use the card. What should I do?? The rep told me that they would report to the credit reporting agency that I settled for less than the amount owed. Would this hurt my credit even more?? If so I will just pay the amount in full. I have had this account for 2 years. should I close it out?? Help me pleaaaassssseeee
There are alot of factors that would help me help you. What good TL's do you have open? Do you have the funds to PIF? What do your scores look like and what are you trying to accomplish? I can tell you this, I have done both with them. I had a bad spell where I completely flaked and couldn't pay my bills and had 2 cards with them. After fighting with them on it and dragging it out longer than necessary, I was able to suck it up and settled on 1 of them. After that, I got more money available and wanted to clean up my prior mess so I PIF the 2nd card. 2 things, the PIF card, I was not able to use any longer which turned out to be good with their crazy AF. The good news is that they kept the account closed, added payments as on-time after the default, even though I paid nothing, and they keep reporting on time payments even though the account has been closed for over 1 year. They still post positive payments to the account which is rolling out the lates on my 24 month history.
The other account that I settled is not showing any of the positive attributes of the other account. You can fight them but from past experience, if you want anything positive to come out of the account ever, and have the funds, PIF. If you don't care and don't have other baddies, the hit might not do alot of harm and you can settle. Option 3 is that you do nothing and they'll keep selling it to CA's and you'll have to fight an ongoing battle.
I have yet to see a way to make them go away, but if anyone has an angle, i'm all ears and willing to try.