1,501 People Helped
Member Since: December 2014
Probably, but more than just a credit score will be looked at. Your overall credit profile is just as important as your scores. Look for a dealership in your area that advertises for bad credit financing. It may be a good idea to evaluate your credit situation first and do what you can to improve it before you go car shopping. The problem with dealing with the bad credit guys is that you are going to get very high rates and may end up in a deal that you don't really want. Whatever you do, never let a dealership or lender put you underwater with a loan, meaning that you would owe more than what the auto is worth. Many people get themselves into serious trouble with that.
TryingToUnderstand's response was:
For the non-student loan collections, it is best not to enter any payment arrangements with debt collectors, they will set you up with a bad deal and if you fail to make a payment it can restart the statute of limitations for you to be sued for the debt. Find out what the Statute of Limitations is in your state to be sued by a debt collector to find out where you stand before you proceed. When dealing with collection companies it is always best to be in position to pay the full amount before you begin any negotiations. You always want to try to get a Pay For Delete agreement with them before paying. Do some research on PAY FOR DELETE to educate yourself before you proceed any further. Also in some cases you can contact the original creditor and ask them to pull the derogatory account back from the debt collector in exchange for your payment. Be aware that simply paying a collection does not remove it or remove the damage from it, it only minimizes the damage. I repeat, do your best to not get involved with any payment plans with a debt collector.
First, do some reading on "pay for delete agreements" as that is what you would want to get. To find out the name and contact info of the debt collectors you can either "google" their info or contact the credit bureaus to get the information. The three credit bureaus are Transunion, Equifax and Experian and they all have websites.
Contact the original creditor and ask them to pull the account back from collections in exchange for your payment in full. Tell them you are only willing to pay if they agree to delete the account from your reports. Do some research on "pay for delete offers".
I would guess that this account should be falling off your reports within the next year, so it may be best for you to just let it age off. Contact the credit bureaus and ask if it can be removed yet or when it is scheduled to be removed. Do some reading on "early exclusion". Get yourself a Secured credit card from a lenient lender that reports to all three credit bureaus. Get some positive info on your credit reports. You should look up the "statute of limitations" in your state to be sued for this type of debt, odds are it probably has expired. The "statute of limitations" can be restarted by entering payment plans. The "seven year credit reporting period" CANNOT be restarted by anything. That is where the confusion happens on this topic, people get the two mixed up, "statute of limitations" and "credit reporting time period" are two DIFFERENT things, remember that and learning about this will be much easier. Continue to read about building credit and come back and ask questions as needed.
The seven year starting time begins at the time the account became delinquent, so when you did not pay the bill by the due date that was the starting time. You will have to look back in your records if available to see when the original bill was due and that would be your starting date. You can contact the credit bureaus and ask them when the account(s) in question are slated to be removed from your reports. Opened Dates and Last Reported Dates have nothing to do with the credit reporting time period.
First, it will not mess up your credit by rejecting the loan, the salesman is telling you lies trying to make a sale, so that goes to show right there that they are not trustworthy enough to puchase a vehicle from. Secondly, there is a reason that your boyfriend has bad credit, he probably does not like to pay his bills!!! Tell him that you are not comfortable cosigning, because if you do it will affect your "debt to income ratio" and that may result in you being denied for a loan that you may need sometime in the future. If your boyfried pushes or cannot respect your decision, then he is probably not the guy for you. Cosigning this loan is something that you should NOT do.
Are they listed as derogatory accounts or positive accounts? If they are positive closed accounts they will remain for at least 10 years or maybe forever. Never try to remove closed accounts that were positive as it will hurt your age of credit history and hurt your credit score. If they are derogatory accounts, what kind of derogatories are they? Charge-offs and missed payments that are older than 7 years can be removed by pulling a report directly from the credit bureau and then use your report number to file a dispute, stating that they are too old to be listed. You may also be able to call the credit bureaus directly and give them your social security number and ask over the phone to have the negative data that is outdated removed. If it is negative information be sure to look at all 3 reports to see if they all contain that information. Experian, Transunion and Equifax.
REMEMBER: IF THEY ARE POSITIVE/PAID AS AGREED ACCOUNTS WITH NO DEROGATORY INFORMATION DO NOT GET THEM REMOVED!!!
If you haven't used the account since 07, I would strongly expect it to be actually closed, but just a reporting glitch. I wouldn't say that is a fact though. For your credit, it is best too just leave the account alone as it is having a positive influence on your credit. Unless an account is a negative account, it is usually never a good idea to remove accounts from your reports as it can really damage your credit.
For most negative items it is 7 years from the time of the negative activity. You can ask for "Early Exclusion" on negative items slightly prior to the 7 year mark. The law is that most negative information has to be removed by 7 1/2 years from the time of the negative action, but the credit bureaus will do it in 7.