I have a very old credit card debt that I can’t decide if I should pay it or not. Any suggestions, especially from an expert would be great.
The very old credit card debt has already been on my credit report, stayed 7 years or so and finally was removed. So it can no longer impact my credit score unless paying it would give them the ability to put it back on my credit report which is what I am most worried about.
Essentially it has already given me my 7 years of pain so now that its gone I don’t know of any reason why I should pay it. The last thing I want is any payment or discussion to give them the legal ability to put it back on my credit report. I have heard instances where communication or payments have allowed negative reporting to last longer so I want to avoid that at all costs.
I think most or all legal collection limits have expired so legally I don’t think I have to pay it, but I don’t want to do something to open that door if it is closed.
The debt is small but as I said, I don’t want to pay it to do the right thing or clear it up. Then have it bite me by hurting my credit.
Any help, especially from legal or collections experts would be extremely helpful. Thanks in advance and maybe this will help others also with old debt.
I am not an expert, but I would not pay it if it has fallen off your report, unless it nags on your conscience and you can pay it in full. Then the emotional aspect of it may be worth the hassle.
I agree. If already dropped, Do Not Pay. It will return to your credit as a paid charge off (or whatever the negative status was before, only paid) for another 7 years.
Also, once it is dropped from your credit report, you may have trouble paying it as the original creditor has already written the debt off (and has already deducted the loss against their income for IRS purposes) so the likelihood of them having your paperwork still is slim.
If the paper has been sold to a debt collector, they are just trying to collect whatever they can and will continue to try and collect something many years later. I personally do not feel that paying a third party off, especially at full face value, is good for your conscience or anything else, as they just are looking to benefit off of the hard times of someone else.
If the debt nags on you, Pay it forward in some way. At this point, it will present a stronger positive karmic ripple into the universe.
I have worked in the lending and credit industry for 20+ years, and this is my 2 cents.
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Thank you, I appreciate it. That’s what I thought. It is a 3rd, 4th or 80th party debt collector wanting to settle for a small amount but not taking a chance it will be added to my credit as a paid chargeoff.
There is a good chance I could get it removed as its the same debt that has already been on and fallen off, but I am not going to worry about it.
Thanks for all the help.
thanks for sharing i am always amazed what i learn from you all thank you
