Should I pay a charge off that is over two years old by negotiating with the company that is collecting on the debt and if so, how will this benefit my score? If no benefit, should I allow myself six months to build up my score? My next question is should I validate the charge off first before paying it? what if I do a restricted money order and make a copy and send certified, is this enough to send to the credit bureau to get this debt showing paid?
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I would validate any debt at a collections company
over time having all your bills debts collections paid off will help your score
IF
you have 3 to 6 lines of open and rated (12 months payments) like car loans, credit cards and home loans.
anytime you pay something off it should be reflected on your report with in a 45 day time period
if not
just use my free credit dispute form and the record will get updated
I am trying to get a house by the end of the year. I keep hearing people say don’t pay charge offs if they are over 2 yrs old. I want to have them paid off, I don’t want to leave them off. I plan to get a secured card and a secured loan with a bank and I have a car and that is all. Do you have any other suggestions that will boost my score. I am asking an old card member that I am in collections with to reopen my account if I pay the balance off in full. Do you suggest payment arrangements on a settled debt or should we save up the money and pay the settlement in full? My husband is a prior bankruptcy that has been discharged what do you suggest for him to boost scor so that we can buy house by August of this year. Do you think in 6-8 mos our score will be up or should we go the full 10-12?
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