Pay it or continue to PFD?

[Anonymous]

The facts:

OC: Verizon

Account opened 12/2004 (it's also my oldest account)

Sent to collection Aug 2007 for $66

For FICO reasons - would it be better to just pay it and have it as a paid collection OR continue to PFD (full payment, no shirking) until one of us breaks.  Even taking it as a baddie for 7 years with it falling off in Aud 2014 - the rest of my accounts will be 6-8 years old by then.  If I lose it now via PFD I lose 2 years of history immediately. 

Which is the better way both short and long term for scoring?

[fused]

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Lady_Scarlet wrote:

The facts:

OC: Verizon

Account opened 12/2004 (it's also my oldest account)

Sent to collection Aug 2007 for $66

For FICO reasons - would it be better to just pay it and have it as a paid collection OR continue to PFD (full payment, no shirking) until one of us breaks.  Even taking it as a baddie for 7 years with it falling off in Aud 2014 - the rest of my accounts will be 6-8 years old by then.  If I lose it now via PFD I lose 2 years of history immediately. 

Which is the better way both short and long term for scoring?

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Unlike paying a derogatory TL, paying a collection will do nothing to improve your scores. FICO says  a paid or unpaid collection it doesn't matter, it's still a collection. Since this is a recent serious derog (less than two years old), it is having a major negative impact to your scores much like a public record would. Even if it's your oldest account, do the PFD, you stand to gain more. By doing so you stand to gain around 60-100 points. Waiting for it to fall-off in 7 years will not cost you 100 points, no way! 

[Anonymous]

I stand by Fused.  Keep sending until they crack!  You don't have anything to lose...besides 42 cents per stamp.

[MeganML84]

Keep sending the PFD!

I disputed an old unpaid collection with a CA, it came back verified and updated as "paid" (it was a joint account, the other party paid it off years ago) and I got a very generous 1-point FICO increase.

Keep at that PFD. Even if they never agree to it, don't give them the satisfaction of paying it. Better yet...keep sending the PFD but add up all the postage, once you've reached $66 dollars consider yourselves even. Then you can sleep at night

[Anonymous]

Very Generous? That's so sarcastic! And that's my job!

[MeganML84]

Sarcasm is my thing, cynicism is yours.

You can't have both.