Impact on FICO for credit card debt settlements?

[bfine360]

Hi,

I'm considering working with a debt settlement company to half the amount I owe on two credit cards and pay the balance off over a 3-4 year period.

What i'd like to know is what kind of impact does going through credit card debt settlement have on my FICO score both in the short term and long term?

Had anyone gone this route and have some experience to share?

Thank you,

Bob

[guiness56]

Most will tell you that you can do what they can do for free.  I agree.  Many times things don't get paid as they should and you will end up in worse condition than before.

Can you give a rundown of the debt you are wanting to settle?  How much?  What kind?  Is it inside your states SOL?  Is it the original creditor or a collection agency trying to collect.?  What is the Date of First Delinquency?

Settling a debt will not impact your score.  FICO sees a debt that is paid in full or settled the same.  Only on a manual review would it maybe make a difference.