Charge off accounts

[AP]

Does paying a charged off account reset the 7 years in will remain on a credit report?

[House1204]

No, it does not.

[LIGHTNIN]

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@AP wrote:

Does paying a charged off account reset the 7 years in will remain on a credit report?

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Hi and Welcome to the myfico family 😉

What is the DOFD, listed on your CR?

Removal date begins from the the DOFD, your 1st missed payment that led to the account being charged off, not the date you paid it. 

By showing the account paid, it will look favorable to future lenders.

[AP]

The account was last active in October 2022. The amount owed is 3234.00. I called asking for a settlement and they offered 2800.00 which is a lot more than I expected 🙁. 

[Leo]

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@AP wrote:

The account was last active in October 2022. The amount owed is 3234.00. I called asking for a settlement and they offered 2800.00 which is a lot more than I expected 🙁. 

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If that's the best settlement that they'll offer, since this charge-off is only a few years old, if it were me I'd probably just pay in full. With a charge-off on your file (even a paid one), prospective lenders are going to see you as risky, so anything you can do to ameliorate that impression of you (such as paying it in full instead of settling) would be beneficial. 

[LIGHTNIN]

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@AP wrote:

The account was last active in October 2022. The amount owed is 3234.00. I called asking for a settlement and they offered 2800.00 which is a lot more than I expected 🙁. 

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Last day active, not sure what you mean by that.  You need to know, the last day paid followed by 30,60,90 days late and never paid again.

Is this OC reporting? The CA? Or both?

Also need to know your states SOL,that’s the time period they can sue and win.

Check out, the links below, should explain what you need to know 😉

What Steps Do I Take?Do I DV?PFD?Frequently Requested Threads