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seeveelee

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i only have 5 accounts open for collection, does that mean i will be debt free once i pay it?
I messed up when i was young, now i have 8 account that has status showed as closed. Now i see i only have 5 account that is open for collection. Does that mean if i pay off all my accounts open for collection i will be debt free?, Thank you

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What are the dates on those delinquent accounts. They will only show up on your report for 7 years from the first delinquent date (the first missed payment before the bill went to collections). So if they're close to the 7 year mark then it might be in your best interest to not pay them and let them fall off your report. If you try contacting the creditors then it could reopen the file, thus restarting the statute of limitations (SOL). Is this ethical? Not really, a debt is a debt and a debt should be paid. However, in the world of improving credit scores, this is the thing to do in this situation.

If these delinquent accounts are more recent and you have a long time between now and the end of the SOL, then yes, you should pay them off ASAP. Once they're paid off then your score wont be dinged for having active accounts in collections, but you will have the line that states that they were delinquent but have been paid off. Start by calling the creditors on accounts you KNOW you're going to pay off and request debt verification letters. Then, when you know the debt is actually yours, call again and ask them if they'll settle for a partial payment if you pay it today. If not, then offer as much as you can pay today and then have them put you on a payment plan until it's resolved.

The "account closed" lines on your report will remain until they fall off at the end of the SOL

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