Paying vs settling collections accounts

[mclaughlinc]

I was told something I find very hard to believe. If you pay in full a CA they will report it paid the next month and then stop reporting it all together. So in effect it gets deleted from your CR.

As opposed to settling for a lesser amount and then the collections company will continue to report this information for 7 years.

Can somebody provide a clearer answer on how this truly works? I always believed regardless of paying in full or settling the account would be reported CRA for an additional 7 years. From the date paid.

Please advise and thanks for the help!

Corey

[jjgross]

Originally Posted by mclaughlinc

I was told something I find very hard to believe. If you pay in full a CA they will report it paid the next month and then stop reporting it all together. So in effect it gets deleted from your CR.

As opposed to settling for a lesser amount and then the collections company will continue to report this information for 7 years.

Can somebody provide a clearer answer on how this truly works? I always believed regardless of paying in full or settling the account would be reported CRA for an additional 7 years. From the date paid.

Please advise and thanks for the help!

Corey

even if they only report once it's on there for 7 years.even if you pay it.just reports as a neg.paid