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what if i do nothing


labtech89
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I have some accounts that are in collections (the earliest is 2005 and the latest is 2007) and a lot of paid off accounts with late entries(the earliest late fee is dated 2003 with the latest in 2007). I recently bought a new car although the interest rate is somewhat high and have recently gotten a couple of credit cards. I have other loans that I am also paying off. If I don't do anything about the old late entries or the collection accounts will my score go up as long as I keep paying on my car and credit cards/loans? What if I pay the collection accounts? At this point I am not considering buying a house or needing a loan but was just wondering. I can pay off all but one of the collection accounts so would it be advisable to do that. Thanks.

Kristine

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If I don't do anything about the old late entries or the collection accounts will my score go up as long as I keep paying on my car and credit cards/loans?

I honestly do not know how this will affect your credit scores; however the SOL for In. is not consumer friendly; therefore, you might want to reconsider "doing nothing".

Should you neglect these collection accounts, they could end up with a "snowball effect" and you may be facing law suits which could put you into BK.

There are others that can possibly help with PFD or negotiating debts - I do not have that personal experience....but I would encourage you to face whatever your situation is now.....this puts you in charge rather than on the defense in a civil suit.

Wishing you success in your credit repair.

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If I don't do anything about the old late entries or the collection accounts will my score go up as long as I keep paying on my car and credit cards/loans? What if I pay the collection accounts?

Yes, your score will go up once the derogatory tradelines are over 2 years old, and you continue to pay your other debts/loans on time. You need to specify if your old debts are still owned by the original creditors, or by JDB's. Those owned by JDB's you should never pay. Remember this, unless you do PFD's, which can be very difficult to negotiate, a tradeline which reads: "paid in full for less than amount owed" will hurt your credit and FICO score about as badly as a BK.

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Remember this, unless you do PFD's, which can be very difficult to negotiate, a tradeline which reads: "paid in full for less than amount owed" will hurt your credit and FICO score about as badly as a BK.

Just to add on this, any balance remaining from a settlement can also be sold to another CA for collection. So unless you get that PFD, you aren't getting ahead with anything because you'll have to deal with another CA for the balance of the remaining amount of the settled account. The cycle starts again.

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