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TxBlueEyeAngel

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Don't really understand
I really don't understand the whole fixing your credit thing. My score is 618 which says it's POOR. I do have some charge off accounts on my credit and some closed accounts, but if I start paying off the accounts does that help my credit or make it go worse? I need some more understanding on this. I had thought about paying for advice but sometimes they don't help you, they just make you pay them. Anyways, I don't know what to do to make my credit score go up.

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Here are some things to consider: How old are the negative accounts on your reports? If they are fairly recent then they are harming your score more than if they are old accounts. Have the charge offs been sent to collection or bought by a debt collection company? Are there any collections showing on your reports? If these accounts are pushing the 7 year mark to fall off, you may want to refrain from doing anything (which there are a few things to do, let me know if this is the case and I will explain that). Now, if these charge-offs are fairly recent and you have no collections showing on your report you may want to contact the Original creditors of the delinquent accounts and try to pay them before you end up with collections showing on your report.

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If the original creditor already sold them to a debt collector, the original creditor will tell you that they can no longer accept payment and that you should call the collection company that they sold the account to. If this is the case and the collection co is not reporting on your credit report I would not do anything, because if you contact the collection company it may remind them about you and next thing you know you have a collection account on your reports. If a collection co is already reporting on your credit reports in this case you may want to try to get a "Pay for Delete" aka "PFD". This is were you get them to agree in WRITING that if you pay the account they will remove it from your credit reports. ____________________________________________________________________________________________________________________

Make sure that if you want to pay these old debts, do it in one lump sum. Whether you and your creditor or collection company agree to a settlement (less than what you owe) or if you are going to pay the full amount, do it in one lump sum. DO NOT enter into any payment plans or agreements with them, because if you do and you miss a payment on this (things unforseen can happen) it will restart the clock on the Statute of Limitations and the Credit Reporting Time Period which is going to cause you a lot of future problems.

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It is also possible to get things removed from your reports or corrected which may increase your score. If any of the information on your reports is incorrect you have the right to get it removed via the "Dispute process. If you can give more details on how old these accounts are and any other non-personal information about what you are facing maybe myself or someone else on here can give you some further advice.

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I also want to add, be very careful about what you are currently doing with your bills, make sure all payments are made on time, don't ever let one become late. You may want to try to get a secured credit card now as well so you can have some positive information reporting. Always try preapprovals first if the credit card company has them.

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There is a lot to understand.

Educate yourself.  Use CK and siteslike this to learn what good credit is and how to manage it.

Your credit follows you for the rest of your life and will effect everything from the rates you get on credit cards and loans to the rates you pay for insurance. It will be a factor in renting apartments and houses and can even be used in getting a job. So your score it is the most important number in your life. 

The articles and blogs on here give you all the info you need to start repairing and maintaining your credit,  USE IT!

and Good Luck

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