Account data is represented by two general types: historical and current.
Historical info is retained under such codes as payment history profile.
Current status is only a snapshot of delinquency or payment status as of their last reporting.
An account can have a current status of charged-off, and then become paid by the consumer.
The new currernt status would be paid.
The prior delinquency status prior to payment is retained under a code called your payment rating, which would remain as CO.
A charged-off account will be closed to future use, and thus would not return to pays as agreed in the debt is repaid.
Paid, was a CO would be a statement reflecting both its current status and its payment rating.
And, of course, the CO remains as a prior reported derog.
Unless the CO is deleted by the creditor, which is totally voluntary, the account will never be "positive" in scoring until the derogs become excluded.
If they accepted a PFD, that is an agreement to delete. That is better than credit report exclusion, as it is gone, not just excluded from showing in your normal credit reports.
It is unlikely, but might be possible, to have the creditor reopen an account of the debt is paid, but that would simply make it an open account, not a positive account, unless they also deleted the prior reporting of a CO.
