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williammcd

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how to pay off credit card in collections the right way
I have about 4 accounts in collections at about 2500. Can I settle for less and how long does it take to show up on my credit score

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Yes, you can settle for less. Most collection agencies will accept settlement offers, since it's better than nothing. They will show up on your credit report as "account settled" or "settlement accepted on this account" (depending on the creditor, but it's something to that effect).

They will still continue to show as negative credit though, since you were delinquent on those payments. When the settlement offer is accepted, the 7 year clock starts ticking on when they will fall off your credit report. As those accounts age, and as you rebuild your credit, those settlements will have a less significant effect on your score.

The settlement itself will not hurt your score like a bankruptcy would.

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