@JoeRockhead wrote:
@Realist wrote:
A charge off, or any relationship with a lender or the debt holder, locks you into a ongoing relationship with them moving forward, so long as you keep contact, or acknowledge the debt, or make payments on the debt. It is, or becomes, or remains active, meaning that the seven year mark of dismissal is always a moving goal post towards having it removed from your credit report - while active. This is why at times, debt collectors want to inquire with you about "said" debts. Never talk to these people unless you have a plan to settle, pay off, or some other option.
If you do, or did acknowledge this debt at some point, by paying off your charged off debt, it's going to look better than leaving it hanging. The negative on the report will exist for seven years after conclusion of the debt in your case.
@Realist
Maybe I'm just misunderstanding what you're saying. Just to clarify for the folks at home, the only goal posts that can get moved when continuing to pay on a charged off debt, or collection is the SOL on collecting the debt. The CO and/or collection notations on credit reports are removed after 7 years based on the DOFD that led to the charge off status with the original lender. That date can't be changed as per FCRA regulations.
Unless discharged/dismissed by the debt owner, unpaid debts never really go away, regardless of whether or not they are gone from credit reports and the SOL has expired. That's why it's often recommended to people to never acknowledge, agree to pay or start paying again on unpaid debts that have been time barred from collection. The sole purpose of that recommendation is to avoid resetting the SOL clock. Even if a consumer commits an act that effectively resets the SOL, the debt still can't be reinserted on reports once it's been time barred from being reported.
Exactly right Joe. An excellent and detailed response.
$XXX,XXX in credit lines.
Multiple months in free credit reward vacations.
$X,XXX in bank rewards in only 12 months.
I like FREE...
800+ FICO.
Making all numbers dance on a financial ledger.
Abuse that score responsibility.
Take nothing I say as financial advice. DYODD.
