i'm paying off an old credit card that's turned into a collection account, but how do i actually get them to clear off the collection from my credit file or does it just stay there for however many years?
2006-09-12 11:03:53 · 9 answers · asked by Easygreasy 2 in Business & Finance ➔ Personal Finance
I'm simply amazed at how often I answer this question, and how often people continue to give out the wrong information.
stopccdebt!!! I know you have seen my answers! And you have seen my sources! Yes you, a professional credit person, still pass out wrong info???
OK, lets start again.
When you pay off a debt, all the collector is required to do is notify the credit bureau that the debt is "paid". But it will still contain information about your collections and late payments. It's still a negative/derogitory entry on your record, and will stay for 7 years, beginning from the day you became delinquent on the loan (NOT the last transaction date).
There are only two ways to get a negative entry erased from your history.
1) The creditor must delete it
2) The creditor fails to respond to a disput investigation from the credit bureau.
Therefore, if you want this removed from you history, you need to somehow convince the creditor to delete it. Once they have your money, you are going to find them very uncooperative in helping you fix your credit history.
So what I recommend to people is send them a letter saying that you will pay this bill, but only if they agree IN WRITING to delete the entry from your history. Don't pay them a dime without this agreement.
Otherwise, you will end up broke, and still have a bad credit history.
2006-09-12 12:02:17 · answer #1 · answered by Anonymous · 1⤊ 0⤋
Never! This is a good thing though! once it is paid off you will not have bad credit, you won't have a good credit history, but it will still be considered credit. I have been told it is better to have bad credit than no credit at all. The best thing though is for you to go ahead finish paying it off. It will pay off in the long run!!!
2006-09-12 11:15:59 · answer #2 · answered by no.#1 Mom 4 · 0⤊ 0⤋
Been there done that, even when it is paid off or you can do a settlement, it will remain on your credit for a year. Make sure once it is over to get a letter from the company that states that it is over 7 done with & keep it for your records 7 years.
2006-09-12 11:11:00 · answer #3 · answered by hotbabee38 1 · 0⤊ 0⤋
I agree usually with J-Kitch & The Sarge. What you should comprehend that there is two timeframes that be conscious to series debts, the "the 7 twelve months rule", that's the honest credit Reporting Act(FCRA), and the statute of limitations for gathering debt. How this may be conscious on your subject is that the older the debt fairly after 2 years, it does not impression your credit everywhere close to as lots. maximum circumstances, series businesses anticipate which you're no longer completely conscious of your credit rights and that they're going to incorporate an furnish to make you have faith which you're becoming to be a great settlement deal. while in all certainty, they're baiting you into restarting the clock on a debt with an expired statute of limitations. think of roughly it this way, if the debt is going to provide up reporting 7½ years from while it first wasn't paid, and possibilities are high it rather is probable unlikely to be legally enforcable in court docket properly till now it stops reporting, what may be the objective of paying it? They series business enterprise does not have a leg to stand on. with the help of basically ignoring them, the account isn't even legally enforcable in civil court docket, and finally it rather is going to provide up reporting besides, and that they get no longer something. yet another element to remember is that series businesses purchase those money owed for pennies on the dollar, so it does not be any pores and skin off their back to furnish a deal, fairly while it rather is virtually all income for them besides. till now you do something, i could take 2 issues into attention. How previous is the debt, and while it is going to furnish up reporting. in case you do decide directly to take them up on their furnish, i could strongly propose making a counter furnish for a pay to delete settlement in writing. this way, it rather is a win-win subject all around.
2016-11-07 04:53:52 · answer #4 · answered by ? 4 · 0⤊ 0⤋
It will take UP TO 7 years, BUT if you "dispute" the file it COULD be erased earlier. Since your paying it off, you have a better chance of it getting erased with a dispute. You can dispute at the three major credit bureaus.
www.transunion.com
www.equifax.com
www.experian.com
2006-09-12 11:17:11 · answer #5 · answered by The Great Sphinx 2 · 0⤊ 0⤋
It will remain 7 years from the date of last activity. In your case, this will be 7 years from the date you send your last payment in.
2006-09-12 11:08:57 · answer #6 · answered by Anonymous · 0⤊ 0⤋
when you pay off the bill the company will show it paid off , they have 3 working days to do this
2006-09-12 12:22:44 · answer #7 · answered by walterknowsall 5 · 0⤊ 0⤋
check with he credit reporting agencies. i thought it was 3yrs for collections and 7 yrs for judgments and bankruptcy.
2006-09-12 11:14:46 · answer #8 · answered by justrying2makit 2 · 0⤊ 0⤋
It should be marked as PAID, but it will stay there for years.
2006-09-12 11:10:02 · answer #9 · answered by Anonymous · 0⤊ 0⤋