Paying A Collection Account
So, are you wondering how to get rid of a collection account from my credit report? First, let me explain why paying off a collection account doesn’t get rid of it from your report. You will be paying your debts back to the collection company at some point in time. You can certainly avoid paying a collection account if you do not owe them any money or if they have not contacted you in a couple months. When the collector wants you to settle a debt, the statute of limitations begins to expire for the debts. Furthermore, paying off a collection account doesn’t necessarily get rid of it from your report. You may have already paid the account and the collector is simply trying to restart the action. In most cases, when the collector has sent a letter, the creditor has seven days to respond.
The problem with debt collectors is that they are trained to always contact you sooner rather than later. Often, the longer it takes for the creditor to respond, the more aggressive the collector becomes. When this happens, many debt collectors will start calling multiple times a day, pushing their agenda and harassing you. It is important to remember that these collectors are not doing this to make you feel nice. Most often, they use these tactics because it is the only way they know to collect the debts.
What To Do After Paying A Collection Account
Once the debt collector starts harassing you, it is best to ignore them. You can also call the original creditor to let them know what has happened. If the original creditor agrees to the settlement, you should get a written statement from them letting you know they have accepted the settlement. Once the statement is received, send them a formal letter asking them to validate the debt. This ensures that the debt collections department will not continue to pursue your case.
Once all of the debts that have been collected are paid, it is advisable to request that all credit accounts with an attached interest be closed. This ensures that your creditors will not report any new charges to your credit history. After you have removed all debts from your name, there is still one thing left. Even though you have paid a collection, the collector may not stop calling you. The statute of limitations in this area varies from state to state. So you will need to check with your local court house to find out the statute of limitations for the state where the original debt collection account is located.
By following this advice, you can help lower your collection efforts as well as minimize damage to your credit rating. Remember that these methods are in place to protect you. Always consult a credit repair agency if the above steps do not solve your problem. A good agency can guide you through the process and ensure that you receive a clean credit report once all collection efforts are complete.
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