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Need advice on a very past due collection debt.
I have a credit card with a $2500 limit that was opened in October 2006. Last time I made a payment on this card, was sometime in 2007... so it's been roughly 7 years since this card became delinquent. Account has been in collections for quite some time now, since May 2010. About twice a year, I get sent a settlement offer from the collection agency... and for some reason or another, I never have enough money at the time to accept one of their offers. Recently received another settlement offer, this time around I have the money to settle. They want 1 payment of $665. Do I accept this offer? I looked at my annual credit report through Experian and it says, "this account is scheduled to continue on record until June 2014." Does that mean this delinquent account will be removed after June 2014? What is the best option to improve my credit score? Accept the 1 payment offer? Continue not paying? Ask for a pay for delete? Any advice would be helpful.

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Things to get before you pay.

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The only time you should pay a collection agency is when 3 things have been satisfied. The first, have the collection agency send you all the documentaion the recived from the original lender. Under the FCRA, they have to turn over any and all records proving you owe the amount they are trying to collect. Second, get a statement, in writing, from the agency saying that the money you will pay will satisfy the debt in its entire amount. Third, get another statement, in writing, that says the agency will report to the original lender, and to the credit reporting agencies that the debt is paid in full, and will be removed from your credit report. Unlike public records, collection items don't have a minimum amount of time the linger on your report. They can be easily removed if you have the patience and the proof to have them removed.

Waiting will only make it worse. If they decide to file a small claims suit against you, the public record from that will hurt your credit much more. Make sure you have all 3 things mentioned above BEFORE you pay them any amount.

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I would wait until July first. If it falls off your credit report then, you're home free.

If you settle, it will update your credit report as "Settlement Accepted", with the current date, and I believe (someone please correct me if I'm wrong) that the 7 year clock starts over when that date is updated.

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Scheduled to remain until april 2016

So i have some intense student loans. It says it is schduled to remain on until April 2016. Today, first time in years i received a called from the debt collector that has taken over for sallie mae. They asked for me but i said i wasnt the person they were looking for and the sister and took a message which was just their number.

Will this reset the clock all over again? i only have a month before this falls off and dont want to ruin it. Now i am paranoid!

And if not, should I just ignore all calls period with them???? i am assuming they will just keep calling and mailing letters since April is right down the road.

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