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Question By
Sherry45612

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Can I paid off a collection and dispute it on the same day?
So today a new collection show up on my credit report. I gave the collection agency a call, and ask them If I paid them in full, can they remove it off my credit report. They answered that they can only changed the status to paid, but cannot remove it off my credit report cause the credit bureaus doesn't allow them. Anyways, I still paid. However, I really need to get this collection off of my credit report as soon as possible. It is okay to dispute the debt on the same day that I have paid?

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NO!!

First off, is this actually a debt that YOU made?  If so, you can't dispute it.  You can only dispute errors. 

Second, NEVER try negotiating any settlement over the phone.  You need proof of the agreement and that can only be done in writing and with signatures on the letters.  Snail mail is the way to go on this if you want to try negotiating a 'pay for delete' agreement.  They don't have to agree, but you can try. And keep copies of their letters and yours.

Reply by
Sherry45612

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I dispute with "Accuracy- This account is settled". would this work? cause it was paid off

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the point is when i made the call, they told me to make the dispute as they themselves cannot remove the collection

Top Contributor
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To bad you jumped the gun,

Once its on your report, you report won't change for 30 to 60 days. Thats the length of tme you had to negotiate to have it removed,  By paying right away, they now have no reason to change the report.  There is no longe any benifit to them.  Done,  It will report on your Credit Report for the next 3 to 7 years. It will most likely show up as paid and since it just showed up on your report and you paid it off right away it will probably only show up as in collections for one month. Your score will take an immediate hit but should bounce back fairly quickly if all else on your report is in good standing.

Next time something like this happens and you know that iti is your debt,  Write a letter to the Collection Agency, Addressed to the Manager.  That will get the letter into the hands of someone that can make decisions.  Offer to pay 75% the debt off if they will remove the negitive remarks from your report. They will probably counter at a higher percentage, but Once you get a reply with an offer, including an agreement to remove negitive remarks and a signiture, then pay them off. I believe, by law they have to reply to you even if they don't agree to your terms, it's worth a shot.

If the debt is not yours then write a validation letter,  Google it for more info and a template.

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