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grannydeb512

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I paid off all 5 of my collection accounts and my mortgage, will my score jump up

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Paying off the mortgage may actually cause a score decrease, the amount of decrease will be determined by the rest of your credit profile (depends on how many other installment loans that you have). Paying off the collections would cause an improvement in scores if they are going to delete them from your credit reports. Usually a "pay for delete agreement" must be negotiated prior to paying for this to happen. If the collections are not removed from your credit reports and only marked as "paid and closed" then one of two things can happen regarding your scores. If the accounts have been updating regularly, then by paying them you are stopping the updates which will allow your scores to start growing more by being less depressed from the updates. The other way your scores can be affected is if the accounts have not updated for a long time, if that is the case then your payment will cause an update and the update will cause a decrease in scores in the short term. Either way, your credit reports will look better under manual review and that is a good thing, but for scoring purposes paid collections are really not any better than unpaid collections. If you did not negotiate for "pay for delete agreements" prior to paying the collections, then you jumped the gun, but not all hope is lost as you have a chance of getting them removed even without a pay for delete agreement and after payment with a "goodwill letter". A goodwill letter is a request that you send the collection company to remove your account that has been paid. You can do some research on how to write a good "goodwill letter" and remember that sometimes it may take several of them before you get your request granted. Wait and see if any are removed before you do anything. Sometimes it may take a little while for the updates at the credit bureaus.

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