Let's say you get a letter from a collection agency and you pay it off and you're all caught up on your debt. You ran up debt, it got sent to a CA, but you took care of it now and paid it all off. How long does it stay on your credit report, bringing your credit score down?
Damn! Have you ever had any experience, or do you know if someone can pay off the debt with the OC and have them call off the CA, or is it already too late because the wheels are in motion at this point?
In my case it's a very small amount $80(plus $10 they've added on for interest) from a gym membership. I was just wondering if that sounded like the best course of action, or if I could just end up getting screwed by the CA saying I never paid and never notified them that I disputed the debt, even though I will have paid off the debt with the OC directly.
So you're saying that I shouldn't even bother sending the initial response within the 30 days to dispute the debt? I should just go directly to the CRAs and start disputing it with them? Doesn't that leave it to where the CA can keep adding it back on my credit report over the years saying that I never paid it, and I'll have to keep constantly checking my credit report to make sure it's not there and keep disputing it with the CRAs every time it is added again? On top of that, I will have not ever "officially" disputed the charge with the OC or with the CA.
I say you should always dispute the debt within the 30 day time limit even though you have paid the original creditor directly.
