Is it possible to re-open a charged off account and make payment arrangements?
Answer:
I work for a credit union, with the credit union i work for we will try to contact you and work out arangements for you to pay it back, maybe with payments or something. It is done through our loan adjustment department. If we can not reach an agreement your entire membership will be sent for collections and you will then have to deal with them. The answer to your second question. yes it is pretty bad for your credit. It will always show up and it wont be good if you apply for loans.
No you can not re-open, but you can make payments, if you choose the second route make sure after payments they send you payoff slip..Good luck
It's not possible to re-open a charged-off account. In fact, because there are certain tax deductions and such that a credit company is able to claim when they have to charge off accounts, you may very well not even be able to pay off the debt to get it removed. More than likely, while you might be able to show that you no longer owe money, the charge-off will remain on your credit.
It wouldn't hurt to call the company you owe money and ask, though. Or, for that matter, look up one of those attorneys who advertise that they'll answer questions for free and only charge if you use their services. Find out if there is more available to you than credit companies tell you.
Don't do that! Just contact the company you owe the money too. Write them a letter telling them you are broke, but you just got a settlement and can offer them 50 cents on the dollar for a free and clear determination on the account. In the letter tell them best they accept, otherwise the money will be spent and you won't get a dime.. If the debt is close to or coming up on 7 years.. Forget about it - don't pay it. It will fall off after 7 years. I know this for a fact! Happened to me. I dropped 50K in debt after 7 years. How'd I do it you ask? I never established a dialogue with the banks I owed money too.
I did it this way. Say the bill is for $1,000.00, I would call the company and say I'd like to make a settlement on my account and I have $700.00, would they accept it as payment and mark the account closed, paid in settlement. Then the bidding would begin and they usually settle for less and it does change to paid in settlement but you need proof from the company and need to make 3 copies of the payment (cancelled check or money order or credit card) and 3 copies of the paper work and send it to the 3 credit reporting agencies to have it changed on your credit report.
It's not worth trying to re-open charge offs.some establishments do this but you're better off re-establishing your credit with another account elsewhere.just make sure you make the payments on it. It's very easy to rebuild credit now.
When it comes as far as a charge off, most companies will not reopen the account. If you had done it before the account was charged off you could have probably done it. American Express was a program that you can repay your debt and still keep your account but it can't be charged off.
if you can afford to live 7 years without credit- don't pay them.
they will show for 7 years on your credit if you pay them or not or settle for lower amount from the day charge off was open.
if you want to pay them- they will gladly take payments, but you must check who owes those accounts right now. most likely they were sold to collection agencies. ask them to send you the latter that you pay them, because they are not very good to update your info with the credit agencies.
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