Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Paying Your Bills
Profile Image

Question By
jkbiuyfgvybh

0 Contributions
0 People Helped
How can I benefit from paying my collection debt?
I owed At&t $1,000 and they gave my account to a collection agency and they want to settle for $580 before 9/23 i don't know if it is the right thing to do. I'm running gout of time to still be able to accept the settlement. I want to eventually be able to purchase a home soon. and it also does not appear on my credit karma report?

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
6 Contributions
1 Person Helped

Pay It!!  You don't want that showing as owed on your credit report. I have paid off 5 collections from my credit. My score went up a little here and there. The highest increase was 5. But, it has always been my understanding that collections on your credit is a huge NO to home loan officers. Pay It off!!

Top Contributor
7371 Contributions
3811 People Helped

Helpful to 0 out of 1 people

If you accept that offer and pay the debt, you save money and that is always good.  Read the articles on credit

here because you never want to fall so far behind that a debt goes into collections because that hurts your credit score.

The reason the debt doesn't show here is twofold.  Credit Karma's purpose is to teach about credit and they only get informatiion

from two of the credit bureaus.  AT&T may report their accounts to the third credit bureau. 

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.