Re: Should I Dispute?
04-16-2012 12:41 AM
When the debt was satisfied, regardless of the amount they accepted, it has the same current status... simply Paid.
There is no such thing as a status of Paid in Full or Settled for Less. That fact is separetely reported and coded.
If the debt is satisfied based on the owner accepting less than the full amount, they can separately report that fact to your credit file by way of a Special Comment.
Those two codes, taken together, tell the story that it is satisifed (%0 balance due), and if the special comment is also present, that it was settled for less.
Since the debt collector was not the owner, and the owner apparently never reported, any special comment would only enter your file by way of the debt collector.
I would ask them not to report an additonal special comment, and your CR will appear the same as if you did a PIF.
As an aside, I am not even sure that debt collector reporting codes permit for such a special comment if they were not the owner, as it was not their debt that was satisfied. They were only an agent of the creditor. However, I am not sure about that. I would call the debt collector and request that they NOT report an additional special comment.
As to impact, your CR still shows the debt satisfied. The additional special comment will advise others that you had a prior debt that was not paid in full, but the extent to which that will or will not be of significance depends upon how much it raises their eyebrows.