Pay For Delete with Creditors Financial Group – Remove Charge Off From Credit Report.
Learned on 8/3 that over $9,000 was owed to credit card that I thought business partner closed out in 2009 ( business lasted about 4 months). Creditor still owns the debt but has charged off and has a 3rd party trying to collect. 3rd party says last payment was made 3/2012 and I am the guarantor ( I have no recollection or documentation of such). I have contacted former business partner and have created a payment schedule for her to pay me back and plan to pay off the debt in full with in the next couple of days.
Should I go to creditor to pay off debt and try to get agreement to remove charge off? If so, is there information I can access to advise me on how to go about this? I was not the financially savy person in this partnership.
—Virginia
Getting either Bank of America, or Creditors Financial Group collecting on the account that BofA charged off, to remove it from your credit report is not likely. It cannot be done with CFG – the debt collector – as they are not the one doing the reporting. Getting your Bank of America to voluntarily back out the charge off, even if you pay the debt off, is just not common (as in unobtanium).
Requesting debt validation from a debt collector like Creditors Financial Group, when you are not sure the account is yours, is a good move.
You mention having no recollection of signing on as guarantor for the account. You can request the Creditors Financial Group validate that you indeed owe this money. You would do so in writing and send the request certified mail return receipt. Your letter requesting validation does not need to be much more than “I am requesting you validate the debt you are collecting is in fact mine”. You may have signed on for responsibility for the account back when it was opened and just not recall that, but you should really take the time to get them to verify it. The debt collector is required to cease collection activity, once they receive your validation request, until they are able to answer you with a proper response.
Settle with Creditors Financial Group and get zero balance reported on your credit reports.
If the BofA credit card is proven to be guaranteed by you, and you are on the hook for the balance due, consider settling the account for less than what is owed. If the charge off on the credit report is going to stick, the damage is done. Paying in full, or paying less than the balance owed, wont change the damage on your credit report. Either one will bring the balance due down to zero, which is what you want to see in order for the damage to have less impact on your credit score over time.
I could provide a bit more feedback if you could post a comment reply below to the following questions:
Who is the creditor?
Who is the debt collector?
Here is a link to more information on request debt validation: Request debt validation from a debt collector.
Anyone dealing with a Creditors Financial Group collection account is welcome to post questions and concerns in the comments below for feedback.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
Well…. you have shared some new information that suggests there is more to this account than meets the eye.
You went into the bank, and the police department, and your former partner is MIA from taking responsibility. All of this combined raises additional concerns.
I would not connect with CFG yet. I would like to better understand more of the background and what is happening today. You can reach me by filling out the blue contact box on the ride side of this web page, or call the toll free number at the bottom of the page and choose ext. 1 to ring through to me. Leave me a message with your number and best time to call if I am unable to pick up. I am on pacific time and can be reached most days through 6:30 pm.
After visiting BofA and the police department, it seems that indeed my best bet is to settle as soon as possible. I did send the validation request yesterday as BofA says that CFG is not representing them. I plan on contacting CFG later today because my former business partner never showed up nor did she contact me regarding paying off debt. Any advise you hae before I call them is greatly appreciated.
Thanks for the additional info about BofA and CFG. I updated the original response above to include that.
You could start with the validation request to Creditors Financial Group in order to make certain you are legally responsible for the debt. I put a link up in the response above for more information. Keep your letter short and to the point. Generally, you should expect a response from CFG within 30 days of them receiving your request.
They may not respond at all. They may just kick the account back to Bank of America. You then may hear from a different debt collector later on. You then have to send another letter. It can become a cycle, and all the while the account stays on your credit report as a charge off with a balance due.
If you want to resolve the account (the detail you gave earlier shows you have the means to do so), and since you will be getting reimbursed over time from your former partner, let me know. If you reach this decision I will help you with that part.
Thank you for the response! This is the first time in a week I feel that I have viable information I can use to create an apporpriate plan of action. The creditor is Bank of America and the debt collector is
Creditors Financial Group. I look forward to your continued feedback.