Best strategy to settle debt?

[lindalee]

I have four negative items on my credit report. Two is with Midland Funding. And the other two are department stores. How should I settle? Should I pay the full amount? I don't have it. Or will they be willing to take partial like 20-25 percent of the debt? And what are my chances for a Paid to Delete? Last question, do you know how it will affect my credit score? Will it improve it or make it worse, if I settle with them? I am a single a mom, so any help is greatly appreciated. I am trying to settle and repair my own credit. I can't afford to hire an agency or a company. Thank you for your help in advance.

[Clydesmom]

First and foremost NEVER ever hire an "agency" to repair your credit.  Waste of money most if not all of them are frauds.  You do not have to pay them to do what you can do on your own for free.

5 hours ago, lindalee said:

Or will they be willing to take partial like 20-25 percent of the debt?

If settling is what you want to do then you make an offer in writing.  They either accept it or they don't.  There is no hard and fast rule as to who will settle or for how much.

Junk debt buyers like Midland are more likely to settle for less but original creditors have been known to do so as well.  Whether they will settle greatly depends on if their chances are better suing you and getting a judgment.  The more time they have to sue the more likely they are to want a higher percentage to settle.

5 hours ago, lindalee said:

And what are my chances for a Paid to Delete?

With Midland:  ZERO.  Many creditors have now taken a hard line stance against doing PFD.  You can ask for it but there is no legal loophole to force it.

5 hours ago, lindalee said:

Last question, do you know how it will affect my credit score?

A paid collection is better than an open one.  

5 hours ago, lindalee said:

Will it improve it or make it worse, if I settle with them?

If the trade line reads settled for less than owed it isn't as good as a deletion or paid status.

The problem is FICO scoring models are proprietary and no one can tell you exactly how your score(s) will be affected.  Not having negatives reporting is one factor but having positive trade lines reporting is a big part as well.