Bad Credit advice | Imamother

amother

Thu, May 09 2024, 7:32 pm

amother DarkGreen wrote:

A few points.

There isn't any magic formula that is a company that charges $5000 can do to improve credit scores.

Medical debt under $500 can't appear on your credit report and if you pay medical debt that goes into collection, it has to be removed from your credit report.

This is significant because any late payments or unpaid amounts will remain on your credit record for 7 years. Even if you were just forgetful and made a payment late on your credit card or mortgage, it will appear.

You should get a copy of your credit report - you are entitled to free copies every year and make sure it is accurate. If it isn't accurate, then contact the credit company.

OP should contact the leasing company and find out the status. That the car was totaled doesn't eliminate your obligations under the lease any more than if you bought a car and owe money on a loan. That is why you have insurance - so if your car is totaled, you can pay it off to the leasing company or the loan company. If you just walk away, it will go into collections.

FWIW, most companies don't bother to sue to collect money because it isn't generally worth it if it is a relatively small amount. So the leasing company probably sent some requests for payment which OP ignored and then either wrote it off or sold it to a collection company. In either case, it would be reported and appear on your credit report for 7 years.

Thanks for explaining
I was on automatic payment with the car company also they never sent me anything and I never got anything from collections

I never saw the money from insurance as it went straight to the car company to pay off the car

amother

DarkGreen

Thu, May 09 2024, 7:39 pm

amother OP wrote:

you should get a copy of your credit report to see what is being reported and how it is being reported.

If yiur insurance paid off what you owed, then you should contact the leasing company to find out what amount are being billed for and why. Perhaps you can get it removed but you need to get all of the facts to determine how to proceed.

You will also see whether there are any other reports that make be erroneous. Uiu can also write a letter of explanation

There are forums that provide a lot of helpful free advice from knowledgeable people and I wouid find out all the facts and then post on one of the forums before spending $5000. You can accomplish the same thing if you are willing to take some time and unkess you make a huge amount per hour, spending some time to learn how to do it yourself is worth it.

amother

NeonOrange

Thu, May 09 2024, 8:29 pm

amother Gladiolus wrote:

You pay him first and then he clears your credit? No way.
Let him clear your credit and then you pay him.

That’s not how it works.
I paid someone over 10k 2 years ago to fix my credit. Bh he did (it’s low again now…. Sad

amother

Seashell

Thu, May 09 2024, 9:06 pm

amother Thistle wrote:

We paid someone $5k and he didn’t clear it. Just dragged us around. I hope it’s not the same person.

Would you say who yours is? I am looking into it with someone now and don’t want to get screwed over

But I’m looking for debt consolidation as well

amother

Khaki

Thu, May 09 2024, 9:10 pm

be carefull of who you use. Lots of people are scammers taking more advantage of people in needy situations

ellacoe

Thu, May 09 2024, 9:28 pm

Norm at Angels of Debt, has helped a lot of my clients.

amother

Iris

Thu, May 09 2024, 9:54 pm

Anyone who says he can "clear your credit" just like that is lying.

amother

Seashell

Thu, May 09 2024, 10:23 pm

ellacoe wrote:

Norm at Angels of Debt, has helped a lot of my clients.

I can’t reach them ever. I’ve tried the email and phone #. Do you have a way I can reach them? I need help with my credit

amother

Peachpuff

Thu, May 09 2024, 10:31 pm

NY and NJ both passed laws recently that unpaid medical bills do not get reported to your credit report. Regardless of amount or type of medical bill.