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Luckyducklyn

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Paying off what is in Collections
I have two items in collections which is hurting my score. They are small amounts now and I can easily pay them off. They came from a result of me being displaced from hurricane Katrina and not receiving mail. The items are just now being brought to my attention. I would like to just pay them off? Would that remove them from collections? If so, when can I expect my credit score to increase? And how do I go about paying it?

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Dispute junk debt.

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This is just showing up on your credit report?  Katrina was over 7 years ago and any debts from there should have dropped off, so you are likely getting reported by a JUnk Debt Buyer who purchased packages of "out of statute" debts they hope to badger someone into paying.

You don't know how to go about paying it?  That pretty much proves it's a JDB contact!!  File a dispute with all credit bureaus reporting these debts and they should be gone in no more than 60 days. 

DO NOT PAY THEM!!!  They were written off a long time ago and are no longer collectable.  Once these are removed from your credit reports, the negatives should disappear and your score should raise shortly after the debts are removed.

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I agree with the previous commenter that you first need to dispute them and hope they get removed that way; however, without having all the facts I can't so confidently say they are the junk debt collectors. It is likely they are those "buy for a fraction on the penny and harass," in the event they are not I will give the following advice. If reporting them through the credit bureaus does not work, you will need to contact them, play dumb and say you weren't dodging them you just weren't aware what the debt was for. Ask them for documentation of the debt if you do not already have it. Next negotiate with them. Do not pay them right away. You can and should demand that you will pay them in full if and only if they remove the reporting to the credit bureaus.  If you want you could even try to negotiate the amount down lower if you are going to pay them in full; however, the most important thing is to get the collections off of your report so start with that demand. They strike this deal very often, so do not take no for an answer. Hopefully you win by disputing them through the credit bureaus; however if not go with my advise.

Just for information sake since you aksed, if you pay them but do not have the agreement in place to have them removed, it will show on your credit as paid in full; however the collection will remain on your report and continue to hold your score back. So it is important to make them remove the collections from the report.

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Reply by
JBirley15

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P.S. I failed to mentionthe most important thing. Get the agreement in writing. Make sure it spells out the agreement, they will remove the collections report on all 3 credit reports and you will pay them in full. Getting it in writing is a must, collection agencies are scum, so you cannot trust them at their "word."

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