Settled for Less VS Paid in Full on Your Credit Report

It may seem like "paid in full" is a more desirable outcome on your credit report, but the reality is, settled for less is just as beneficial when dealing with unpaid collections.
If you have collections, and care about improving your credit score, you will want to know how to best reach your goals.

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Michael Bovee started CRN in 2004 with a mission to provide people in need with detailed credit and debt help. The DebtBytes Channel is an extension of the CRN blog, and is dedicated to finding the debt relief option or strategy that works best for you.

[coreyhommes]

You’re awesome! Thank you for the advice!

[truthbetold]

What if the account is not in collections yet but they want you to settle for less

[OneBrightLightTN]

Hi Michael, I just found your channel and have a question. About a month ago I started preparing to purchase a home. When doing this, I pulled my credit report and found I have a negative charge off account from Synchrony Bank for my Paypal MasterCard. I have never been late so I called them. I learned that they mistakenly marked me as deceased just over a year ago and automatically charged off my account at that time. I had never received anything from them regarding my account. I have always, and continue to make on-time payments on this account. I have asked them to correct what they are reporting on my credit report, but they will not change anything. What can I do? I don’t feel I should have a negative mark on my report since I have done nothing wrong and pay my bills on time. FYI I live in Nashville, TN if that matters. Thank you for your help.

[am-]

Awesome and very informative videos!!

I have alittle over $1000 in medical bills that has been in collections for about 4 years now.

They are all for the same hospital but sent to two different collection agencies. I called the local office of the collector trying to pay a lump sum and have it deleted. I was informed that I was unable to do so due to their policy because I previously contacted them 3 years earlier about the same thing and didn’t agree to pay it then.

The hospital is willing for me to pay them directly and told me it will with drawl it from collections, do I try and negotiate with them to a lower lump sum? Pay in full? Then contact the credit bureau to have it taken off. Or will paying it buff itself out ?