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orioles74

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Should I payoff collections?
I'm trying to get approved for a construction loan to build a house but was denied due to having 2 collections from a cable company and phone company. If I would pay these off would I be likely to get approved or would it not affect my chances at all?

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Do some reading on "pay for delete agreements". This is when you offer the original account holder payment in full to pull the account back from collections and from your reports or if they will no longer accept payment then you offer the collection company payment in full in exchange for them agreeing to remove it from your reports after your payment. Getting the collections marked as paid, but not getting removed will not help nearly as much, BUT if this is what the lender is requesting, then pay them anyway even if you can't get a "pay for delete". Most mortgage lenders will not approve loans until open collections are paid and closed.

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The accounts went into collections because they weren't being paid as agreed, so, of course you should pay them!  And you should finally take the time to read the articles here to learn how credit really works.

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