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Has anyone settled a personal line of credit with Wells Fargo?

Discussion in 'Debt Settlement' started by cahomeowner, Oct 25, 2010.

  1. cahomeowner

    cahomeowner LoanSafe Member

    I was wondering what your experience was settling on a personal line of credit? what was the process you went through and how long did it take? how was it reported to the credit bureaus?

    anything you could share would be helpful.
  2. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    I'm sorry I have not really heard of anyone here settle their PLOC, but I do believe it is possible to do so just like with second mortgages. Are you up to date on your monthly payments?
  3. cahomeowner

    cahomeowner LoanSafe Member

    collection department called me and we started to talk about settlement. they said I was not that far behind and would come down a little bit which suggests they may go down further depending on how far behind I am on payments.

    do you think it's better to put your starting settlement offer in writing or try to work this over the phone....?
  4. cahomeowner

    cahomeowner LoanSafe Member

    so the bank started at 85% when I was 30 days late, 65% when I was 60 days late. they charge off at 180 days so I am wondering if I would get a better settlement before or after it charges off? anyone have experience with this? what % should I be shooting for?
  5. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    I would try to settle for as little as possible. If they went down 20% in just 30 days, maybe they will be willing to settle for as little as 20-30%.. Again I'm not 100% sure but I'm assuming it will be much like settling your second or even a credit card. Personally I would send them a letter in writing very soon with an offer.
  6. TomEason

    TomEason LoanSafe Guide Staff Member

    I had a personal line of credit, along with a bunch of other credit with WF. When I attempted to negotiate settlements on several of my accounts, I was met with a lot of resistance, so I decided not to negotiate any further with WF on anything. All my WF accounts have been charged off. My experience is that negotiating with WF can be very challenging, and time consuming. After having stopped worrying about my credit, which by the way is a very liberating feeling, I stopped communicating with them completely. A tidbit of advice - if you have funds in a WF deposit account, move those funds to another banking outfit. WF can and does exercise its right of set-off, as do most banks. I've heard how devastating that experience can be, when you suddenly find a huge chunk of funds missing without notice! One other tip. If you do decide to negotiate, behaving as if you could care less, and are ready to walk, will strengthen your bargaining position. And, do not act like you are in a hurry; time will be on your side.
  7. cahomeowner

    cahomeowner LoanSafe Member

    at this point it's purely speculative how much lower they will go and how fast. did you have a better chance before or after it charges off? does anyone have any experience they can share?
  8. TomEason

    TomEason LoanSafe Guide Staff Member

    I did not negotiate with them after charge-off, but based on my research and observations, time is on the creditors' side. As I mentioned before, I would recommend you not feel rushed. But you may well have a conflicting goal that prompts you to settle now.
  9. cahomeowner

    cahomeowner LoanSafe Member

    wouldn't time be on the borrowers side for unsecured debt? the cutoff date is 180 days before it gets charged off. I am thinking after charge off is when the %'s really come down of course I would prefer to get this off my plate sooner than later so I can start rebuilding my credit.

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