Paid collection = Score Bump!

[mikie209]

I paid a collection last week, which was my only collection account I had. It was an old Tmobile account. I received a Fico alert in my score change today. It showed the collection go from $321 to $0 balance and my Fico score went from 611 to 621. I am still waiting for my CC balances to update and my utilization will be going from 68% to 37% I am hoping for another big score bump from that. 

[gtnitright]

Congratulations in your score bump. Once your CC's post the lower utilization you should see another bump in your score.

[newmomnewme]

How old was the collection account?

[mikieb209]

2009

[newmomnewme]

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@mikieb209 wrote:
2009

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@Anonymous job @mikieb209!!! I am getting up the nerve and $$ to pay off my last collection account.  8k, I am going to try to get them to pay for delete...more like settle for delete. LOL

[pc2388]

Does it bump your score more to pay newer collection accounts first? Or does it matter?

[DaBears]

Paid or unpaid collections are scored the same by Fico. You can see a score bump if the collection is factored into your util. Paying recent or current collections is the most feasible. Biggest increased come if the CA would delete the trade line once payment has been satified. 

DaBears

[pc2388]

Gotcha. How soon would a CA be willing to settle a debt for less than I owe?

[mikie209]

I wasnt expecting a score bump at all. It shouldnt have factored into my utilization because it was an old tmobile account. It was nice tho seeing my score go up 10 points from the collection reporting a $0 balance.

[newmomnewme]

Its funny....this whole fico scoring thing. I had an old CA account..they changed from a collection to a paid collection and changed my original balance from 90 to 45 and I got a 4 point bump? Nothing else changed....I settled with them two years ago.