Regular Contributor
InvincibleSummer2
Posts: 171
Registered: ‎06-15-2012
Re: OLD Defaulted loans. Rehab them? Pay them off?

For me, it would depend on what the rest of my credit looked like. You'll take a hit either way:

 

  • Settle/pay off, and they'll drop sometime around 7/2013
  • Rehab takes nine months, and finalize that around 7/2013. Then you could pay off and have good looking tradelines through 2016. (10 years)