I just settle an account with Wells Fargo. The unpaid balance was $11,400.00 but I manage to bring it down to a settlement of $5,000.00. They have send me a letter that stated that my credit profile will be updated as "only as Settle Charge Off" Please inform me the pro's or con's of this phrase "Settle Charge Off"
2006-07-19 15:28:53 · 4 answers · asked by edwinortiz9 1 in Business & Finance ➔ Personal Finance
Basically it means you came to an agreement with the company but you didn't pay the full balance of what is owed. It will look good in the fact that it was paid. The company agreed on that amount. You can add comments to your credit report once it is updated stating that you paid in full the amount that was settled.
2006-07-19 15:32:43 · answer #1 · answered by Gracie 3 · 1⤊ 0⤋
It is a negetive entry on your credit history.
The "Settle" means they accepted less than what was owed.
It is slightly better than not paying though!
There will probibly be notation of amount owed and paid as well as the duration of past due or delinquent.
2006-07-19 23:19:51 · answer #2 · answered by astroservus 3 · 0⤊ 0⤋
charge off means that they took less than owed and Settle means they agreed to it. Not a positive entry on your report.
2006-07-19 22:33:36 · answer #3 · answered by Norman 7 · 0⤊ 0⤋
It may make it hard/impossible to open a new bank account (checking, savings, etc)
2006-07-19 23:20:10 · answer #4 · answered by sandysstyles 2 · 0⤊ 0⤋