If i paid off 3 collection accounts....

[Anonymous]

would i see a dramatic increase in my credit score? Or should i not worry about it right now (i'm still in college) they're kinda small. One of them is for like 259. Another is for about 500. And, i could settle for like half if i negotiated with them right? I think that's how they work. Oh, and I have a 2,000 credit limit on my credit card, but i have a balance of like 1,900 on it. If i brought the balance down to like 300, i should see a ridiculous increase. I'm at 598---- 613 trans----- 600 equifax right now. I pay my monthly car payments on time and in full every month plus extra. Another question: I'm guessing Car payments and mortgage payments are the biggest credit movers? ANy insight would be helpful, thanks guys!!

[Anonymous]

Don't pay the collections. Paying collections does NOTHING for your score. Getting that CC balance down below 10%, however, would help your score, probably by a good 20 points or so.

[Tuscani]

Get a PFD:

http://ficoforums.myfico.com/fico/board/message?board.id=generalcredit&message.id=2659

[Tuscani]

Also... credit cards (aka revolving credit) hold more weight than installment credit (home and auto). So your priorities should be #1 getting your util under 10%, and #2 getting a PFD on any collections.

[Anonymous]

There's a difference of views here about whether to pay or not to pay, so I'll stay out of that one. 

I would suggest you take the "extra" you said you've been paying on the car and throw it at the CC debt instead.  I'm assuming the APR on the CCs is higher than the rate on the car loan.  This will help you bring down util but more importantly, you'll save $ by paying the CCs off sooner.

[Anonymous]

I had two CapOne's that were charged off, but they kept recording the Balance Owed and (and on one report as a Past Due Amt as well).  That was screwing up my %utilization making it look like I was way over my credit limits.  When I paid off these two charge offs, I got a big increase (~50 pts). 

It seemed suspect to me that they charged off and kept the balance owed....