Credit Repair Hodgepodge

Hi there!  I am interested in posting a question for response.  I don’t know if I am just supposed to write the question or wait for approval to post.  So, I will just ask here!  Sorry, if it is in the wrong spot.  I actually have a few issues that I am totally confused about so I will mention each.  Any help will be greatly appreciated!

I have recently had some money come available to pay off some looming old debt that is continuing to ruin my credit.  I have read through many of the blogs and had so many questions answered!  One major issue I have is whether or not duplicate entries are hurting my score.  For example:  I had 3 credit cards with capital one many years ago.  They were all in good standing and I ended up consolidating them.  I lost my job and ended up getting slaughtered of course with the debt and although I have paid portions of the capital one debt (they separated it out as all bad debts on my credit report). They have charged off everything and I get the random horrible collectors that harass me.  Anyway, it is showing up like 5 times on my credit report and then 3 separate collection agencies all over the same issue.  Is there anyway to get it consolidated into just the one account prior to me paying them money?

Next up, I have a ton of student loans, none of which I ever recall being delinquent as I have been in school nearly non-stop for 10 years.  Yet, they are showing up as 120 day lates clear back in 2005.  Not to mention, there is about a billion separate entries (20) and of course they are ALL saying the 120 day late.  I have since graduated and had them all consolidated into one payment that is current.  Can I get rid of the other million entries?  

Last question…I promise…I was married 3 years ago to a person with perfect credit and I have done everything in my power to not let my credit hurt his.  I am trying to rebuild my credit as quickly as possible and have no revolving accounts or trade accounts.  We have been living off of his credit.  I am going to do as I read in the blog and get a couple secured cards. But, I was told recently that I should get added to a couple of my husbands trade accounts that have a long history of perfect pays as it will boost my score…is that correct.  I DO NOT want to harm his credit.  I haven’t even reported to any CRA that I was married out of fear that it would somehow hurt his credit.  Any advice would be revered!

Thanks-  Sarah

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Hi Sarah,

The duplicate accounts [and particularly for the student loans] are likely a reporting error.  In the situation you’ve described, you shouldn’t have duplicate original creditor derogatory tradelines reporting for the credit card.  You can file a dispute with the credit bureau(s).  Student loan late payments are another story.

The collections should be present on your report only if they are actively collecting.  Many times, a collection agency leaves the account on the report after the account has been returned to the original creditor.  This too is a credit reporting wrong.  Here is a letter from CDIA instructing collection agencies to delete their tradeline when they are no longer collecting.  That can be disputed as well.

Sarah, it is possible to have duplicate collection accounts for the same item if the original creditor sold the account to a junk debt buyer and then the JDB outsourced to another collection agency.  If this was the case, then the original creditor’s tradeline should have a zero balance.  Looking at your report, you would know whether or not this appears to be true. 

Based on your knowledge of your credit report’s accuracy/inaccuracy and what has been written above, prepare a dispute letter and send by CMRRR to the credit bureau(s).  If the collections come back as verified, then request debt validation.  In the end, what remains and is valid, deal with through a pay for delete.  Always keep in mind what happens when you pay a collection in the absence of a pay for delete.  Also, while we’re on this subject – settle all of your bad debts [whenever possible] in one fell swoop.  Debt collectors will look at your report to evaluate a settlement offer and in that regard, it’s good to look bad.  Get all of your letters for pay for delete together beforehand and then settle.  

OK, so now down the road in about sixty-days or so, your credit report is looking better.  You’ve waited to add secured credit cards or any other tradelines until after you’ve deleted those pesky collection accounts.  It’s now time to be added as a joint cardholder on your husband’s credit cards.  It’s more of a commitment than an authorized user.  No, in so doing, you won’t “hurt his credit”; but, if he doesn’t make the payments on-time then it will surely hurt yours.  That’s what a marriage is: for better or for worse.  In this case, I’m sure it will be for better. 

Thanks for the questions and hope this helps.

Paul