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Question By
pael

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Should I pay or should I wait?
Hi Credit Karma buddies. My scores are in the mid 500's. I have 3 defaulted student loans totaling $1000.00 that I can pay off now or wait 9 months and make $5.00 payments and have the collection agency sell my accounts back to a lender. The collection agency set me up on a rehab program which they claim will allow them to remove all derogatory marks from all 3 CB once I have made 9, $5.00 payments without being late. So would it help me more to just pay them off now and begin to improve my credit or get them deleted in 9 months? I was approved for a capitol one secured card and a fingerhut account which I will be using and paying off religiously. Other than that I have 2 car loans loans paid off and a settled collection account. What do I do? What will help me out more in the long run? Thank you in advance. :-)

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Top Contributor
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Get it in writing...

It doesn't make a lot of sense to me that making $45.00 in payments over 9 months will remove all derogatory listings...  If that's true, do you really want to wait 9 months anyway? 

They seem like they are happy to negotiate with you.

Why don't you offer 50% all at once, for a deletion?  

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