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REXX27

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HOW DOES PAYING A COLLECTION ACOUNT AFFECT MY SCORE
I have a collection account that is a few years old. I am going to pay a settlement amount. How will this improve my score? Should I pay the whole amount or is it okay to accept a settlement? Is there a way to have the collection removed or is it sufficient that is reports as closed?

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Paid/closed collection accounts will not improve your score in most of scoring models. But it is better if its paid to your lenders when they manually review your reports, which most of loans are manually reviewed.

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Do some reading about "pay for delete" agreements, because that is what you want here. I also advise that you read about all credit topics so you are sure that you make the right moves in the future regarding your credit.

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