Should I pay off Charge offs on my credit report.?

Question

I chose not to pay off the charge offs on my credit report but I am paying off the open past due accounts that are up there. My credit score is extremly low and I am trying to fix my credit so I can start investing in real estate, am I making the right decision by not paying off the charge offs and will another company come after me for those same debts.

I will like to thank everyone in advance for there answers but please only qualified people should answer this question. You will not only be helping me but thousands of others who reads this post.

A few of my charge offs are under a year old. the others are about 2years.

Answer 1

Unfortunately a paid negative is still a negative.

The decision to pay or not to pay is up to you.

Yes, the company can continue to try to collect, even if you are past the collecting SOL. Though they cannot legally sue on a time barred debt.
(Collection agencies do illegally sue quite often on time barred debts. Usually the people they sue do not know their rights, do not use them and end up having a default judgment filed on them)

Much of what you would do as far as paying/not paying depends on many things - your collecting SOL and where you are at in it, who you are dealing with - the original creditor (and which one) or dealing with a collection agency, if they are reporting accurately or not, etc., etc., etc.

The reporting SOL "cannot" legally be re-aged. No matter if the charge offs are paid or just jump from collection agency to collection agency. The charge offs can only legally report for the original amount of time.

You might click on my profile and do some reading in the links provided. Learn your rights and learn how to use them.

As for the lates that you are paying, after they are paid you might send the creditors a goodwill letter explaining why you were late and request that they remove the lates.
Depending on your reasons why you were late (just forgetting to send a payment is a very poor reason) a creditor may work with you and remove the lates.
Lates are a major score killer and will remain on your reports for 7 years from the late.

Answer 2

Easier to just file a 7 and move on with starting new credit. Get a secured card and use it at 1/3rd a month, then pay it in full 10 days before due date each month.

Unfortunately, if you don't file a 7, the collections can continue even after the SOL on your credit report. Plus there's the issues of liens.

IMO, until they, meaning big government, steps up to the bar and admits their hands in the CRA collection pots, take it out, and then rewrite the rules concerning collections and reporting to balance with REALITY...which is called the real world; ie., loss of jobs, health issues, your insurance company not paying the medical bills like they're supposed to, etc.,....filing a Chapter 7 will be about the only option you can use; which really is not a bad one when you really think about it considering your ultimate goal. I think it's 2 years after the bk discharge when you can obtain a real estate loan.

Answer 3

How old are the debts? http://www.bankrate.com/brm/news/cc/20040116b1.asp

Read the link to see if they're even legally collectable at this point. And definitely read the links to the credit reporting act as well.

Bottom line though, as long as those debts are unpaid, they'll continue to be reported. If you do pay them (even settling), you can at least attempt to dispute the information and hopefully get them deleted.

Answer 4

if u want to purchase a home, they would have to be paid off. if you want your credit score to go up, you'll also have to pay them. some "might" disappear after 7yrs, but some can reopen and transfer from one creditor to the next and they will stay revolving and late. sucks and it's a long process. the companies are getting smarter and tougher too...some will go to court to get your money and can attack your wages or your bank accounts.