Question about paid collections and credit scores

[2GreenThumbs]

Hello!  So, I paid a collection that was showing on my credit reports.  It was with IC systems.  What I'm reading about them is good and that I should expect this to be deleted from my reports soon.  My question is what type of a credit score increase should I see from this?  The collection was the only derog on my report other that the ones that I had included in ch. 13. I hoping to receive my discharge soon (hoping).  With everything else (other than the ch.13, of course) looking pretty good, should I expect a decent increase?  Any experiences or thoughts you have to share would be appreciated.  Thanks!

[Anonymous]

I believe it depends on how lucky no it has been on your report. Meaning if they reported it back in 2013 it would have less of an impact on your score then if it was reported in the last year

[Anonymous]

No how lucky....how long

*iphone has a mind of its own

[RonM21]

That is true for the most part because the effect lessons a bit in time. With that said, if it is the last or only negative that comes off, the increase will be pretty decent. Cannot put a number on it because it depends on the overall profile.

[2GreenThumbs]

Hmmm...well, the account was first reported by IC Systems in Oct 2011, 5 months after filing Ch. 13.  I didn't pull my credit reports until April of this year (in anticipation of my BK discharge) so I wasn't aware of this.  It's been reporting each month.

[RobertEG]

When they reported the collection, was the Open Date for the collection before or after the date of your BK?

The relevance is that the Open Date for a collection can be reported as the date they received their collection authority.

If they did not obtain collection authority until after the BK, there would be basis for contesting their having had any active collection authority based on the BK or a BK stay.

[2GreenThumbs]

Thank you everyone for your input.  It helps me understand my situation a lot better.  Here are the details:  Filed Ch. 13 on 5/31/11.  It was not included in my bk.  Equifax reports the DOFD as 5/2011.  Experian DOFD is 10/1/11.  Transunion DOFD is 10/24/11.  Was it a bad move on my part to pay this off?  My goal was to clear baddies off of my report and this was an easy one to tackle.  I did ask my lawyer first if I would be able to pay it.  He said that yes, it would be easier to go ahead and pay it rather than try to IIB this late in the game.

[2GreenThumbs]

Just an update.  A week after paying off my collections account with IC Systems, it has dropped off of my Equifax and Experian credit reports (I'm unwilling to pay additional money to check my TU).  My Equifax score got a 14 point bump, my Experian was bumped up by 11 points.  Interestingly, the alert that I got from MyFico shows that my EX score increased, not from the collection deletion, but because one of my credit card accounts decreased by $6.  So weird.