Paying the debt does not remove the fact that the debt became and was reported as delinquent.
Derogs become excluded on their own after certain periods of time, which vary in time and when the period begins depending upon the specific type of adverse information at issue. The exclusion periods are all set forth under FCRA 605(a).
While paying updates the account status from a prior derogatory status to a current status of paid or pays as agreed, it does not remove the continued showing of prior derogs under your payment history profile until they have passed their credit report exclusion date. Thus, while the current status is no longer once or delinquency, the scoring of the account under payment history remains "derogatory."
If the reported derog is a monthly account delinquency, the exclusion period is 7 years from the month/yr of occurence of the delinquency.
If the reported derog is either a charge-off or collection, the exclusion period is no later than 7 years plus 180 days from the date you first became delinquent on the debt with the creditor, and thereafter remained delinquent up to the time of the charge-off or referral for collection. That is referred to as the date of first delinquency (DOFD), and is only used for exclusion of a collection or charge-off, and not for any other types of derogs.
As stated in prior posts, you can send a request to the furnisher of the derogatory reporting asking for their voluntary deletion prior to the expiration of the credit report exclusion period of the derog, but such deletions are totally voluntary on their part.
The CRAs are in business to sell complete credit histories, and instruct furnishers not to grant deletions based on consumer payment of the debt, so good-will deletions can be difficult to obtain.
