My journey into the debt world first started when I met my wife and now partner Dana. Before we met, I accrued a lot of debt that went into collections because I was not budgeting and focusing on how to use my money in a way that would set me up for financial stability in the future. When my wife and I met, I knew that had to change. If I wanted to start a life with her, I had to get my finances under control so I could go into our marriage with peace of mind. I knew that having a good credit score was necessary and would give us both peace of mind for our future together.
So I looked into the process of cleaning up my credit. First, I looked up my tri-merge credit score. Having all three reports are essential because one credit report does not always show all of the outstanding debt you may have! It is vital to look at the tri-merge because it shows all 3 of your credit scores and all of the debt you have on your report. Next, I went through my credit report with a fine-tooth comb and made a list of all the accounts I had in collections. Organized the file with the account information and the phone number for each collection agency and started to call and negotiate! Once I had them on the phone, I negotiated my way to an agreeable settlement amount! In the end, I paid about 90% less than I owed originally! Getting to this settlement amount was possible because the collection agencies pay for this debt for pennies on the dollar, so any amount is profit for them.