@Anonymous wrote:
I have a credit card with a $19K balance and a 670 score. The payments of 400/mo just pay the interest. If I settle this will it hurt my score? I have no other credit other than a car lease and $800 of other cc debt.
Welcome to the forums!
Is the CC current or is it full of lates or charged-off?
If it is current, then settling will hurt your score, assuming they'd even accept a settlement. FICO reads the comments and one comment they'd place is "settled for less than full" or "settled" and that alone can hurt your scores. And if the payments aren't made up to the settlement, then lates would factor in there too. I'd guess a loss of 50 or so, but that depends on your credit report and changes in utilization once this CC hits $0.
