I have 3 collection accounts on my report. I want to know if i pay them off will they stay on my report as $0 ballance or will it be like they were never there?
Collection accounts will stay on your credit report for 7 years, even if you pay those off. If you pay off the colection accounts, the only difference will be that the account status will be updates as "Paid Collection". However, "Paid Collection" is much better than an unpaid colection. With time the negative impact of the accounts will lessen.
score wise very little. It does settle the account and prevents a judgment which is very important because that can stay on your account longer than 7 years
collection accounts on credit report
Hi instagatermm,
Welcome to this community :)
Collection accounts will stay on your credit report for 7 years, even if you pay those off. If you pay off the colection accounts, the only difference will be that the account status will be updates as "Paid Collection". However, "Paid Collection" is much better than an unpaid colection. With time the negative impact of the accounts will lessen.
Thanks,
Aaron
collections accounts will stay on your report for 7 years from when you pay them.
I disagree with Aaron. A paid collection is not that much better, but it will prevent them from suing you.
reply
Hi cinnamngrl,
Isn't a paid collection better than an unpaid one? The creditors will get to see that the person has atleast paid off the dues.
Thanks.
score wise very little. It does settle the account and prevents a judgment which is very important because that can stay on your account longer than 7 years