Settling to Remove a Charge-off??

[jpd36282]

I've been trying to read online and on these boards how to negotiate a removal of a charge-off. I've read that companies aren't allowed to remove a charge-off and I've also read you can settle for a lower amount and have the charge off removed. Which is correct? Do companies have legal authority to remove charge-offs completely? Are there ways to remove a charge off entirely that have been successful for others?

[OmarGB9]

Creditors are allowed to do whatever they please with their tradeline as long as they follow the law. The real question is whether they'll remove it after settlement. Even when paid in full, most of the time they won't delete it. That said, you can try to negotiate a PFD, a pay for delete, wherein you can offer to settle or pay in full in exchange for them deleting the CO. If you can get them to agree, make sure you get it in writing (a letter) before paying them anything.