UPDATE: Settled a Charge Off, 62 Point Increase

[Anonymous]

This is great news. You are a bit further than I am in this credit rebuilding process but stories like your motivate me so much. Thanks for sharing this. Although I am very new to this forum I was a bit skeptical on how much paying off a charged off account really bumps ones score...but I willd definitely call LVNV on a debt I owe.

[Anonymous]

Congratulations! I know how it feels too. What a relief. You're doing a fantastic job and rebuilding!

I was able to settle on a large credit card debt (90 days late) for about 40-45% of the original balance. It wasn't charged off yet, so I have "settled for less than full amount" on my credit report, which I can live with. I think my FICO went up about 70 points. In my case, it was the amount of debt just as much as the utilization that was holding my score down. Not long after the settlement, I started getting a few modest credit card approvals (and then a wonderful Discover It unsecured card a scant three months after the settlement!). 

I still have to learn patience, but when I look back, it's amazing how quickly things have started to look up. I mean, I'm still not "there" yet, but it's such a difference from about 10 months ago. An amazing difference.

Edit: I should add that I still have some more debt I'm paying off, on some cards that were never delinquent. I was able to get on a 5-year payment plan with the bank with low interest (and the cards are closed). This keeps my utilization way up. But even with that, it's still amazing how things have improved. 

[DGOATS1]

Fantastic job! I’m a big fan of paying off debt. Best feeling!