Updating paid CO's and CA's impact on score

[hippychic823]

I have several paid CO's that I PIF in February 2017. They recently all updated at yhe end of April to reflect as paid with zero balance. Does this updating cause the CO's to appear "new" in FICO's eyes even though they updated with positive info? Alsi, I have a paid collection with PRA that I PIF in February that is updating monthly as paid. I was under the impression that once a CA was PIF that it would cease updating. I do still have 3 open CA with PRA that report monthly so I'm thinking they are all updating together, however I think the continued updating is keeping my score depressed. Any info on this? Also, how can I get PRA to stop updating to paid CA or can they keep doing that?

[RobertEG]

It is not viewed as new by FICO, it is viewed as having been delinquent up to the point that the updated reporting changes the current status from being delinquent to now being paid.  After being updated to paid, the delinquency on the debt terminates, and there will be no subsequent extension by FICO of the period of delinquency on the debt.  The CO or collection will then begin to age in the sense that it will not extend in its overall delinquency.

CRA policy instructs furnshers to discontinue regular updating unless there is some additional change that requires reporting of an update.

However, since the status is no longer one of delinquency after current status us updated to paid, it will not extend the delinquency scoring effect.

[hippychic823]

Thanks sir so, if I'm understanding correctly the updating of the paid CO's and collections are not negatively impacting my score? I do know that my open collections which are updating monthly are keeping scores from rising I was just worried that the updating of the paid negatives were also impacting score in a negative way.

[RobertEG]

The updating does not report that the debt remains delinquent, and thus does not extend the effective period of the derogatory reporting.

Updating reporting of an unpaid debt that is either charged-off or a collection effectively extends the period of consumer delinquency, and thus does effect scoring.