I was reading this article (the one linked in the bottom from MSN) strangely enough the same week I was looking into paying of some old debt. I've recently bought a truck, with a higher interest rate due to my credit, and am on my way to a better higher ground in my credit standings.

But, I have one last remaining debt from an old fine that went to collections when I lost my job. I know I need to pay it, and will, but I was curious as the adverse effects it will have? From this article it seems that the debt from two years ago will not appear as a new debt when paid but will appear as an old debt that has simply been paid recently, and as such not have the same effect it would have if it were to appear as a new debt... is this correct? Could it still have a negative effect; could it have a positive one?

The main reason I ask is that at one point my credit score was in the low 400's and has now grown to low 600's, not amazing but still much better... and it will become even better due to the truck. I'm not sure if the score is better due to having paid of most of the debt, having an apartment and other smaller bills stay in good standing, or due to the debt becoming older and less of an indication of my current ability to pay bills on time.

Either way I'm hoping that when I pay off this debt it won't have adverse effects, and if I'm lucky maybe even help my standings. Is there anything I can do or say when contacting the agency in charge of the debt to help me somehow? Thanks


http://articles.moneycentral.msn.com/Banking/YourCreditRating/WhenPayingBillsCanHurtYourCredit.aspx

It shouldn't adversely affect your score and may improve it

:) yes there is 3 things you can do 1 is seek credit reair/ 2 when you contact the agency
that's in control of the debt you can negotiate with them and get them to agree to a smaller pay off and ask them to remove it off your credit if you agree to pay it off
then you both agree on a payoff price and have the agency to send you something
in writing stating that they agree to a certain payoof of the debt that way if they do not
remove it from your credit you can report them to the (FTC=FEDERAL TRADE COMMISSION) 3. you can get the agency to agree to let you payoff the debt by paying
pennies on the dollar of the debts balance,but do remember this if you have already rebuilt your credit and the old debt is 2yrs. Or older and you pay it off instead of the
payoff helping your credit score it will actually hurt it because that old debt once you pay it
off it will remind your credit score that it was once a negative mark on your creditreport
and it will bring your credit score down instead of helping to make it rise my suggestion to you is to get a copy of your credit report with that old debt account number and dispute it with that credit bureau becase old credit records or only held by the creditor for a period
of 1 1/2 to 2 years and then the actural record is destroyed because they write it off as a bad debt and gets paid off by the insurance company and when you dispute the old debt
the credit bureau only has 30 days to resond to your disputed item thecredit bureau must
investigate the disputed item with no questions ask and in order for the negative item to
stay on your credit report the credit bureau must verify that the item is 100% accurate
and 100%verifiable and if they can not do that within a 30 day period they have to remove it from your credit report and 9 times out of ten they will send you a letter
saying that it was verified and at that point you can request that the credit bureau show
you the procedure that they use to verify the disputed item and they only have 10 to 15
days to do that and if they can not show you the procedure that they used to make sure
that the item is 100% accurate and verifiable they have to remove it from your credit report and when you dispute anything with the credit bureau always send your dispute letteres certified mail with return confirmation and you have the right to dispute anything
on your credit file ratter it's accurate or not and when you dispute an item the credit
bureau must investigate that item and to dispute anyitem on your credit file does not
cost you anything it's a free service by federal law with the credit bureaus
for more information on credit repair go to (Debt Consolidation Free Credit Reports Bankruptcy Counseling (http://www.creditinfocenter.com)) and look under
(subsection 611 5A) or you can go to (FixCreditBiz.com - Changing Lives One Credit Repair at a Time ! (http://www.rtl.fixcreditbiz.com)) if you need any more
information you can reach me at ([email protected])

You do not payoff old debts that are 18 to 24 months old because the phsycal record
No loger exists the thing to do is dispute it with the credit bureau and they have 30 days
To verify the item and make sure that it is 100% accurate and verifiable and if they can
Not they must remove it from your credit file (subsection 611 5A)


Debt Consolidation Free Credit Reports Bankruptcy Counseling (http://www.creditinfocenter.com)
FixCreditBiz.com - Changing Lives One Credit Repair at a Time ! (http://www.rtl.fixcreditbiz.com)
fcra.com: The Best Search Links on the Net (http://www.fcra.com)

You noted this is a "fine" as such it is not the same and not treated the same as a credit card debt or a car loan. This needs to be addressed and paid.

As noted a debt never expires. If one can pay one's debts they should.