Comments on: Is this the best way to pay off debt on credit report? Any other suggestions? http://howtopayoffdebt.org/is-this-the-best-way-to-pay-off-debt-on-credit-report-any-other-suggestions/ How To Pay Off Debt - my story about how I overcame debt. Wed, 01 Feb 2012 00:03:08 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: luisa_mapacha http://howtopayoffdebt.org/is-this-the-best-way-to-pay-off-debt-on-credit-report-any-other-suggestions/comment-page-1/#comment-80 luisa_mapacha Sun, 07 Mar 2010 01:07:46 +0000 http://howtopayoffdebt.org/is-this-the-best-way-to-pay-off-debt-on-credit-report-any-other-suggestions/#comment-80 You need to deal with the collection agencies directly. After you pay the item off, request a letter showing you have a $0 balance, fax it to all three credit bureaus separately. (Equifax, Experian and TransUnion.) This is the fastest way to update your credit report, but it will still take around 3 months, as most places only update reports each quarter when it's something that will benefit you. Remember that all three companies listed above most likely have different versions of your credit report, so you need a copy from each place to make sure you're paying off everything. Once an item is paid in full, it will no be removed from your report for 7 years, even if you settle. It will simply show up as $0 owed. Good job for taking care of this, but remember it could be years before you see a significant increase in your credit score. These companies are very difficult to deal with and you will spend lots of hours on the phone and emailing, faxing, etc. You need to deal with the collection agencies directly. After you pay the item off, request a letter showing you have a $0 balance, fax it to all three credit bureaus separately. (Equifax, Experian and TransUnion.) This is the fastest way to update your credit report, but it will still take around 3 months, as most places only update reports each quarter when it’s something that will benefit you.

Remember that all three companies listed above most likely have different versions of your credit report, so you need a copy from each place to make sure you’re paying off everything.

Once an item is paid in full, it will no be removed from your report for 7 years, even if you settle. It will simply show up as $0 owed.

Good job for taking care of this, but remember it could be years before you see a significant increase in your credit score. These companies are very difficult to deal with and you will spend lots of hours on the phone and emailing, faxing, etc.

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