I have a defaulted private student loan with Chase. This has been defaulted for maybe 5-6 years now. I called up, and the person on the line told me they will no longer attempt to collect at this time. They did issue a 1099-C about 5 years ago as well. My understanding is, I still owe the amount even though they 1099'ed me. It should be falling off in a year or so. (Live in NY). My lease is expiring in my apartment soon and I want to buy a house. This is the only major thing holding me back I feel for a mortgage. Should I try and offer a low ball settlement just to have it show on my report as paid? I think that would look better to a mortgage broker than having it unpaid. I just don't want to reopen any statute of limitations in regard to lawsuits. Why would Chase not accept a low ball if they aren't even trying to collect? Any help would be great thanks !