What is a Charge Off?
Once a debt charges-off, the creditor usually will sell (typically for pennies on the dollar) or assign the debt to a collection agency to coerce the person into paying even if the debt is disputed. Charge-offs will remain on a credit report for 10 years.
Paying an old charge-off will not remove it from the credit report. Instead it will update the status to “paid charge-off” which is slightly better but still bad. Surprisingly, the impact of paying off an old charge-off, can be devastating to a credit score.
Since relocating from Northern Michigan in 2007 I have lived in Garner (27529) with my wife Melanie and our four children. With personal production of 8MM in real estate sales across Southern Wake County I am considered to be a local market expert in the following communities: Garner (27529), Fuquay-Varina (27526), Holly-Springs (27540), Apex (27502), and Raleigh (27603, 27604, 27606, 27609, 27610)) which spans from downtown Raleigh to Willow Spring including Lake Wheeler. Call or email me, I’m here to help! Ricardo Cobos (919) 526-0183