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when you pay off a charge off does your score rise much?


lawdogk
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A paid CO looks to same as an unpaid to FICO. They will raise dramatically if you get them deleted for paying.

If a negative item like a paid charge off item gets removed from your credit report, there is a strong possibility that nothing may happen. Like your score “may” go up a few points or it may even drop!

It is possible that it could dramatically rise.

But there are a lot of factors involved.

For instance, like if you happen to have like a paid in full mortgage, paid in full car notes, good balances on credit cards and paid in full installment loans with never being late, then yes, there is a good chance that your score could dramatically rise.

But that is only because you have a lot of good credit items and this bad item was holding you down.

However, if your credit report already sucked big green donkey [EXPLETIVE DELETED] along with not having lots of good trade lines with long credit histories, then your score may not significantly rise. And lots of people experience drops in their score.

Removing negative credit items is only half of the story.

The other half is doing responsible credit behavior, paying your bills on time, acquiring good positive trade lines that you spend years paying off, etc…

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A paid CO looks to same as an unpaid to FICO. They will raise dramatically if you get them deleted for paying.

If a negative item like a paid charge off item gets removed from your credit report, there is a strong possibility that nothing may happen. Like your score “may” go up a few points or it may even drop!

It is possible that it could dramatically rise.

But there are a lot of factors involved.

For instance, like if you happen to have like a paid in full mortgage, paid in full car notes, good balances on credit cards and paid in full installment loans with never being late, then yes, there is a good chance that your score could dramatically rise.

But that is only because you have a lot of good credit items and this bad item was holding you down.

However, if your credit report already sucked big green donkey [EXPLETIVE DELETED] along with not having lots of good trade lines with long credit histories, then your score may not significantly rise. And lots of people experience drops in their score.

Removing negative credit items is only half of the story.

The other half is doing responsible credit behavior, paying your bills on time, acquiring good positive trade lines that you spend years paying off, etc…

It's been my experience that if you get a CO removed whether paid or not, the score will jump 30 to 50 points.

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A number of people have experienced either no increase, a slight increase, or even drop in their credit score.

Removing a negative credit item is not a guarantee that your score is going to jump.

If someone has bad credit, one removal is not going to do much.

One of the reasons why a score may go down is because someone with bad credit, a negative credit item may also have a lengthy credit history attached to it before it went to [EXPLETIVE DELETED]. And that removal may take away whatever remaining credit history was available.

Individuals who have plenty of good positive credit items with long credit histories already on a credit report will definitely experience a decent jump, especially if that was the only significant negative trade line on their credit report. In other words, that was a score killer that was removed in which it is no longer killing the score.

But if there are other score killers and not much if any positive credit history or positive credit behavior, then there may not be much to bounce the score.

A credit score is much like exams at a college. In a high school exam, you start off with 100 points and wrong answers ding your total score. After all the dings, you get your final score. In many college exams, you start off with a ZERO and then right answers “add” to your score. In the end, all your right answers give you your total score.

A credit score is like starting off with a ZERO. You have to do “positive” things to build up that score.

You can have absolutely no negative credit items on your credit report but still have a lousy credit score.

But the more positive things you have done in your credit behavior raises your score.

You don’t start off with a perfect credit score and negative credit items then lowers your score (as in the high school exam analogy). That is why in many cases, removing a negative credit item may not do much in raising your credit score if do not already have long credit histories, positive trade lines, and good credit behavior.

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