How harmful can be a debt posted by a debt collector in the credit report? How much will they take to not post it?

Asked over 1 year ago - Tampa, FL

The debt collector tells the debtor that he owns around $20,000. I wonder that debtor could offer $500 to avoid that in his credit score. I guess the debt collector is better of by taking the $500 instead of nothing. How long will that stay in the report?

Attorney answers (4)

  1. Michael J Corbin

    Contributor Level 20


    Lawyers agree

    Answered . The creditor will take your $500 and still report the debt anyway - so long as the information reported is factually correct, it can be reported. So, your $500 payment would reset the clock on reporting the debt and on suing you for the unpaid balance. Unpaid debt can be reported for up to 7 years from the last date of activity on the account.

    We can be reached at 507.334.0155 (Toll Free: 888.777.5009). Our web address is: www. more
  2. Mark Hankins

    Contributor Level 17

    Answered . An unpaid debt will be reported 7.5 years from the date of first delinquency (DOFD) and 7 years from the date of last activity (DOLA), assuming both are calculated properly.

    Even if you were to pay 100% of this debt to the collector, the collector is obligated by its deals with the credit reporting agencies to merely mark the debt as paid, not delete the negative tradeline. Nonetheless, consumers do sometimes obtain "Pay for Delete" from their creditors (which is improper in the context of the creditors' relationships with the CRAs, but that's not your problem).

    What *is* your problem is that the creditor can of course sue for the $20k. And in many cases, the creditor will win the case and obtain a judgment. However, that isn't always the case, and there are techniques to mitigate the damage or even obtain a complete victory.

  3. Renee Mayerson Cannella

    Contributor Level 13

    Answered . Assuming There IS aJudgment, a A Judgment In Florida Is Good For 20 Years. A Judgment Creditor Has No Reason To Accept 2.5% Of A Debt As Satisfaction In Full.

    Disclaimer: The foregoing answer does not create an attorney-client relationship with Attorney Cannella or her... more
  4. Richard A. Lee


    Contributor Level 5

    Answered . Your $500 will be gladly accepted by the collector, then the time limitations are restarted and the account is reported anyway. Information that is valid, will be reported by the collector.

    Disclaimer - The information provided in this answer is not legal advice to any person or persons, and does not... more

Related Topics

Debt collection and debt settlement

If you face debt collection you may choose to fight it and defend against garnishment. You may also seek debt settlement as a way to negotiate with creditors.

Ryan Hardy

Accord and Satisfaction in Arizona

In Arizona, two parties can agree to a lesser amount than what is actually owed. In order for this to occur, there needs to be a clear indicator that a full satisfaction of the debt is... more

Can't find what you're looking for? Ask a Lawyer

Get free answers from experienced attorneys.


Ask now

23,789 answers this week

2,870 attorneys answering

Ask a Lawyer

Get answers from top-rated lawyers.

  • It's FREE
  • It's easy
  • It's anonymous

23,789 answers this week

2,870 attorneys answering