how long does it take for charge offs on a credit report to be removed from the negative reporting?
I am getting ready to start paying off some "charge off" debts. If I pay them off, do they still remain on my credit report under the negative reporting section???? If so, for how long? What's the point of paying them off if they still stay on the negative reporting section????
The length of time a negative mark can stay on your credit report starts from the time you were late or the late payment went into collection, not from the last time you made a payment on the account. Some collection agencies update their reporting status on you to keep the account active with the bureaus to extend the time the account appears on your report. This is very deceiving of them, because most often the account is updated and the period of time the account is active appears to be extended. You will want to challenge this with the credit reporting agencies in writing. If you do, bureaus will correctly remove it 7 years from origination.
they will stay on for the seven year time period, unless the collections company decides to remove the charge, if you are paying off what is owed on your credit report, I would start with the items placed on there most recently and work backwards. If you contact the creditors and offer to pay them they may work out a settlement with you and agree to remove charges. One thing I would do is write them a letter offerering to pay between 65-70% in settlement if they agree to remove item from credit report. Do not pay them until you recieve a response in writing that it will be removed.
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It will take up to 7 years to for collection notice and other negative marks on your credit report to be removed. After which time you can contact the 3 credit reporting bureaus Experian, Equifax, and Transunion to have them removed. You have to be cautious though when dealing with collection agencies because they often times use whatever trickery they can to get their money. There are times when NOT paying off old collections is advisable, especially if it's close to being written off. Beware if you contact the collection agency or make any reference to paying off the account — they will try to use such communication as justification for changing the initial account date which in effect will make you wait beyond the original 7 years! This is a scam. If this happens to you you can easily contact the 3 agencies and tell them the original date so that they can fix your report.
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The length of time a negative mark can stay on your credit report starts from the time you were late or the late payment went into collection, not from the last time you made a payment on the account. Some collection agencies update their reporting status on you to keep the account active with the bureaus to extend the time the account appears on your report. This is very deceiving of them, because most often the account is updated and the period of time the account is active appears to be extended. You will want to challenge this with the credit reporting agencies in writing. If you do, bureaus will correctly remove it 7 years from origination.
References :
http://www.consumerbadcreditguide.com/sevenyearperiod.html
Yes, they will still remain on your account for 7 years as a "paid charge off"….still a negative account.
In order to improve your credit score, you may to both eliminate negative information as well as establish positive credit history.
Learn how to remove negative items from your credit report at http://aaacreditguide.com/
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