Settling closed out credit card accounts

[smidgeman]

Hey all new member here trying to rebuild their credit. Just signed up for the site and find it very helpful. About 7 months ago i had lost my job and was unable to pay for my credit cards. I have 3 credit cards that ended up getting closed out because of non payment. Financially i am getting back on track and want to get these debts taken care of. I have been in touch with the credit card companies about paying off the debts. How can i negotiate with the credit card companies to pay off the debt in full and have it look better on my credit report??? On my credit report it shows that my Capital One card is 120 days past due. An agent at Capital One told me that if i pay off the balance that it will show on my credit report that it was paid on time every month once i pay the card off. Is this true at all?? Really looking to get these closed out credit cards taken care off in the best way as soon as possibe and the best way to help out my credit score. Any help at all is greatly appreciated. Thank you!!

Chris

[guiness56]

Hi and welcome to the forums.

You are in a better position, credit report wise, if the accounts have not been sent to collections or charged off.

No, unless they agree to wipe out the lates, those lates will remain.  The card will just show it is paid off with no balance owing.

If you can it would be best to pay the balances off in full.  If you don't they can continue to add late payments until the debt is paid off.

It will help your score in the utilization area.  Once paid off the CL will be removed from factoring in to utilization forever and your overall utilization should drop.

[smidgeman]

Thank you for your reply!! One of my credit cards was actually sent to collections. Who would i talk to about getting the lates wiped off of my credit report?? The original creditor or the collections agency?? Thanks again!!

[guiness56]

CAs cannot report late payments.

Find out if the OC still owns the account or if it was sold to the CA.