Paying Collections and Credit Score

[Anonymous]

I have a credit card in collections from 2008. I ignored it for some time, and now im making payments to a collections company. Its almost all payed off. Is it true that when I make the last payment that the debt will be renewed and stay on my report for another 6 years? (im in canada). If so i'd be better off leaving it unpaid and letting the debt leave my record by itself right? I doubt they will try to go to court for a small amount...

Thank You!

[llecs]

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@Anonymous wrote:

I have a credit card in collections from 2008. I ignored it for some time, and now im making payments to a collections company. Its almost all payed off. Is it true that when I make the last payment that the debt will be renewed and stay on my report for another 6 years? (im in canada). If so i'd be better off leaving it unpaid and letting the debt leave my record by itself right? I doubt they will try to go to court for a small amount...

Thank You!

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What does Canadian law say about credit reporting and is there a time limit for bad accounts reporting? Can making a payment reset that credit reporting time period in Canada?

[LIGHTNIN]

Welcome to the forums,

Here's  the web site of the Financial Consumer Agency of Canada..  

http://www.fcac-acfc.gc.ca/eng/resources/publications/budgetmoneymgmt/creditreportscore/CreditReport... 

I belive you will find the answers to your questions there, hope this helps.