There are three that around 100-200 each. I'm trying to improve my credit. Will my score increase if I pay them off now?
2007-03-15 09:49:20 · 8 answers · asked by Anonymous in Business & Finance ➔ Credit
Unless they agree to remove the negative tradelines, it will not improve your credit.
It will just be updated to show as a paid negative. And being updated it will "look" like it is a newer negative then it actually is. (updating is not re-aging)
A paid negative is still a negative.
If those accounts are from 6 years ago, it is possible that you are out of the collecting SOL on them, which means you have no legal obligation to pay, you would pay because you want to.
If those accounts are from credit cards, bank loans, medical, etc., they will remain on your credit for 7 years. The reporting SOL cannot legally be re-aged no matter if you pay or the accounts get bounced from colletor to collector.
If you want to pay - request deletion upon payment.
If you are past the collecting SOL you have the right to send a SOL letter telling them the accounts are past SOL and no longer legally collectible.
If they are reporting inaccurately, you have the right to dispute the inaccuracies. If the tradelines are not corrected in the legal time limit they must be removed (though sometimes it takes filing complaints with the FTC, your AG etc to get them removed)
You might click on my profile and do some reading in the links provided - the FDCPA, FCRA, your state SOL etc.
Learn your rights and learn how to use them
2007-03-15 10:43:43 · answer #1 · answered by echo 7 · 0⤊ 0⤋
people usually confuse and merge the reporting era and the Statute of obstacles (SOL). The reporting era that's ruled via the FCRA is 7 years and a hundred and eighty days from the date of FIRST DELINQUENCY. no longer something restarts this clock. The SOL is the timeframe to convey lawsuit and is ruled via the state. The clock starts off from the final interest or charge. charge and especially cases, even acknowledgment of the debt will restart the clock. Paying off previous debt won't advance your score yet a paid previous debt is plenty extra clever than an unpaid one. The older the debt, the fewer impact on your score. in case you prefer to settle those bills, start up with the latest and artwork backwards. you will possibly be able to settle for under finished charge. Lump sum provides get the suited deals. Any charge plan must be short term. Get any settlement settlement in writing and don't provide the collector get right of entry to on your economic business enterprise account. you additionally can ask the object be deleted for charge -- some will, some won't.
2016-10-18 11:34:03 · answer #2 · answered by ? 4 · 0⤊ 0⤋
Yes, you need to take care of any outstanding debts to clear your credit. It will improve drastically if you pay the old debts. I work with people who are trying to get loans for houses. Old debt can come back to haunt you any time you need to use credit.
Be sure to ask the old creditor to report to the credit agencies once you have the debt paid. That is how your credit score improves. The creditor has to make the report.
2007-03-15 09:59:49 · answer #3 · answered by Tatochka 3 · 0⤊ 0⤋
Hi, I just finished cleaning up my credit to qualify for a good loan and found out some things that may help you as well. In California, and most states, all bad (negative, lates, collections) can only be reported on your credit report for 7years Max..Then they just disappear...BUT .If you pay them off now, the negative parts will still be there until the 7years are up..Companies report "last date of activity" meaning last payment,or contact,or charge to your acctsome even update your account date after a phone conversation(to drag on the 7years)..If they are about to be up(7years from 1st date reported..look on the report for this dates.. and if close to 7years ignore them) Challenge any and all incorrectly reported dates,negatives that are over 7years too. companies will "re-age" updating to new dates to keep on longer..This is ILLEGAL EVERYWHERE and credit agencies don't care unless you point it out..They will investigate, and original creditor will answer, or it gets removed automatically..Hope i help .
2007-03-16 12:36:27 · answer #4 · answered by kerry f 1 · 0⤊ 0⤋
u should of paid a long time ago, only because its 6 years ago don't mean after 7 it will go aways.. You have to pay it in full then 7 years later it will get removed from your credit report..
2007-03-15 10:23:17 · answer #5 · answered by shorty21 5 · 0⤊ 0⤋
They will eligible to come off at the end of 7 years. So it depends on how quickly you need your credit cleaned. If you pay them now, it will just show PAID COLLECTION, but wont necessarily bring up your credit score.
2007-03-15 09:54:56 · answer #6 · answered by Karen 3 · 1⤊ 0⤋
I have placed this in the source box. There is a wealth of information there and a great free debt management software program. I bookmarked the site as I return to it often for the advice it offers. I hope this helps you.
2007-03-15 12:37:35 · answer #7 · answered by Anonymous · 0⤊ 0⤋
your credit score WILL DEFINITELY go up
one factor on your credit score is how much money you owe monthly and all that money on collections is considered money that you owe monthly even though it is only a one time charge
so paying that off will be a huge help
2007-03-15 09:59:12 · answer #8 · answered by EF 2 · 0⤊ 1⤋