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charge off to fall off this summer, but if I pay it, will it stay on my credit?

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Anonymous
Not applicable

charge off to fall off this summer, but if I pay it, will it stay on my credit?

Charge off will be removed by August, but if I want my CR to reflect a paid account NOW, should I pay it? If I pay it, does it "restart" the clock and will it show as a paid collection? Or will it be completely removed by Aug??

Message 1 of 5
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Anonymous
Not applicable

Re: charge off to fall off this summer, but if I pay it, will it stay on my credit?

If you want it to reflect as paid, then pay it now. I would just let it fall off in 7 months and be done with it. If you pay it now, it does not restart anything. Your account will be updated as paid and this in turn may hurt your score. It this August is 7 years since it was charged off, then it will no longer be on your report and you won't have to worry about it anymore. Better off saving your money unless you need your credit cleaned of this immediately and you plan to apply for something very soon.

Message 2 of 5
gdale6
Moderator Emeritus

Re: charge off to fall off this summer, but if I pay it, will it stay on my credit?


@Anonymous wrote:

Charge off will be removed by August, but if I want my CR to reflect a paid account NOW, should I pay it? If I pay it, does it "restart" the clock and will it show as a paid collection? Or will it be completely removed by Aug??


If its not updating monthly now I would just wait until its removed before doing anything with it. You can ask for the EE 6 months in advance with TU an 1-3 months with the other 2 CRAs. Once its off your reports then you can settle it for much less especially if its past states SOL as well. Paying it now to answer your question would not restart the CRTP it would be illegal to do so.

Message 3 of 5
RobertEG
Legendary Contributor

Re: charge off to fall off this summer, but if I pay it, will it stay on my credit?

Once it becomes excluded from your credit report, that is not the same as your "being done with it."

It is still an unpaid, delinquent debt that can, if known to others, effect your abililty to obtain new credit.

Credit report exclusion shields the ability of others to become aware of the unpaid, delinquent debt by simply pulling your credit report.

 

After it becomes excluded, and thus there is no longer any issue of update that might affect your score, it may sitll be beneficial to settle the debt.

Message 4 of 5
darwin_wins
Established Contributor

Re: charge off to fall off this summer, but if I pay it, will it stay on my credit?


@RobertEG wrote:

Once it becomes excluded from your credit report, that is not the same as your "being done with it."

It is still an unpaid, delinquent debt that can, if known to others, effect your abililty to obtain new credit.

Credit report exclusion shields the ability of others to become aware of the unpaid, delinquent debt by simply pulling your credit report.

 

After it becomes excluded, and thus there is no longer any issue of update that might affect your score, it may sitll be beneficial to settle the debt.


How do go about once its off your report? I have one from Midland which I mentioned in on my post and EE and it will be out of my report by end of the year or may be little before if I can manage EE.

 

Who do you contact once its out? How low will they go to accept any payment on that debt? I got a 9K reporting and MCM said that would be willing to settle at 60% but thats too much for me at this point but may be in a year I can say here MCM I can give you 2K. Is that something that will work?

Message 5 of 5
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