When a credit card account is charged off, can a consumer still make payments on an account at a later date?

Question

Being that it's been stated, a charge-off stays on a credit report for 7 years, regardless if you pay off the balance or not, I was wondering if it would be worth it paying off the debt in the near future (long before the 7 years are up) as the right thing to do.

Answer 1

You would be foolish to do so, unless you got in touch with the company holding the debt, said you want to pay to them, then negotiate a reporting of "paid as agreed" if you in fact do just that in the future. They would be happy about that, then try for no interest on the account.

Answer 2

I don't know how much the debt is, but is the seven years that would start sooner or later than if you paid it off. If it takes 3 years to pay off your debt and it still remains on your credit the 7 years will start after you pay it off because there has to be no activity on the account for the 7 years to start which would be 10 years total. If you left it alone then lets say those 3 years went by you would have only 4 more years as apposed to 7 that would start after paying your loan off. I know what your saying as the right the thing to do but its already charged off so see if you can just let it go.

Answer 3

It is the right thing to do, and it will change from a charge off account to paid in full. I would call the credit card company and ask if they will settle for an amount that is lesser than what is owed, and that they report on your credit as paid in full. Then get it in writing. Paid in full looks best on your credit report. Even if they don't settle, at least tell them you will be making payments and you want them to report the account as paid in full, and get that in writing. If they won't put it in writing, then just send them the payments, until the full amount is paid off. So if you get that written letter, and you pay off the amount, and you got it in writing that they would change the status of the account to paid in full, they have to change the status of the account. If they don't, keep track of your payments, when the account is paid off, ask for a letter stating that the account has been paid in full. Then you can dispute with the credit agency.

Answer 4

Well, if you let your card charge off then you got an R9 on your credit rating, it takes 7 years to get your credit back to normal. there isn't a point of paying it off because you will still have that R9 on your report. if you want, you can pay it off, you would have to be contacted by the third party debt management and see what they have to say. all i can tell you, is you should have paid your minimum payment every month. that would have kept your card from charging off.

Answer 5

As stupid as it sounds, it will actually hurt your credit to pay this account.

1 - Contact the credit collection company and ask for what's called a letter of deletion
2 - Then pay the bill.