debt question

Date: Mon, 07/18/2011 - 15:30

Submitted by anonymous
on Mon, 07/18/2011 - 15:30

Posts: 202330 Credits: [Donate]

Total Replies: 2

If I settled with a collection agency for a smaller amount than the original debt, will my credit start to get better or does it make no difference than me just paying the min payments each month on the outstading loan?:confused:

Hi, Can I know what kind of loan is it? First of all you shoul

Hi,

Can I know what kind of loan is it? First of all you should know that secured loans cannot be settled. If only it is unsecured, you will be able to settle the outstanding amount. Settlement does hurt your credit but as you go on making the payments, you will be able to see gradual improvement in your credit. Please provide us more details on this debt and the collection agency so that we can provide you more specific help.

Thanks,

Marvel Becks

lrhall41

Submitted by marvelbecks on Mon, 07/18/2011 - 21:31

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Are you sure that you owe money to this CA? If yes, then can obv

Are you sure that you owe money to this CA? If yes, then can obviously settle the debt with them. But please note that debt settlement may hurt your score by as much as 125 points. Anyway, once you keep on adding positive information on your credit report, your score will gradually increase.

You can make minimum payments on the loan every month. But it will take a lot of time to repay the debt.

You can also enroll in a consolidation program to repay the unsecured debt.

lrhall41

Submitted by Good Nelly on Mon, 07/18/2011 - 21:40

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