credit report question

Hi Mitusac, although you paid the account and it is closed, it will still remain on the report for the full seven years. It should be updated to show that its been paid and is closed but it will still remain on your report. hope this helps. shirley

According to Fair Credit Reporting Act, it will stay in your report for 7 years. You can go through this article to know more on FCRA and 7 year reporting act-

http://www.debtconsolidationcare.com/reporting.html

does it effect your credit score for the better or worse if it shows up as paid and closed?

Paying the account is a bit better for your credit score than just leaving it as an unpaid collection account. It isn't much of a change, from what I've read, but just the fact that is says PAID looks better when future creditors look at your report.

~Mary

Fka,

Paid is always good for your credit. And closed by consumer is better than closed by creditor.

mitusac---I have several charge offs on my report. I have paid a few off and have gotten a 'paid charge off' reported. A couple of other accounts (that were in charge off mode) changed from 'charge off' to 'pays as agreed' and has me listed as current! How I did it was I started making payments every month to the original creditor. I started the minute I realized it went into charge off, and before they had the chance to send it to a collection agency. Thats what saved me on those. That helped raise my score a little too. I still have a few that I am paying on but am confident that once those are paid, I will have a 'paid charge off' next to those as well. Thats certainly better than just a 'charge off'. It shows that I stuck with it and did the right thing in taking care of my responsibilities. hope this helps. :D shirley