So...basically the law firm got back to me and said the same thing...that they would honor the settlment but there was nothing they could do about the balance. So I paid the law firm and got a letter stating the account was "settled in full". Cap One of course did not change my status on my credit report so I filed an electronic dispute with all three saying that I had proof that the account was "settled in full". I got an email from Experian yesterday saying they were going to change the status to 0 balance and "settled in full $1547.00 written off. So today I checked my experian credit report and it shows it as "Paid-was a charge-off". The wierd thing is that my credit score jumped 65 points and NOTHING else changed on my report. That doesnt really seem right to me, not that I am complaining or anything. They basically deleted ALL the KD's from the last 5 years and only kept a KD for Feb and an OK for March. What are the odds this happens with ALL my reports?
I'm glad it worked out for you on your credit report. But I think if I were you, I'd be telling this story to your state's Attorney General. If you were making payments to NCO, but your balance was not changing, there's really only one possible conclusion: NCO stole your money. They were collecting on the account for Cap 1, but they never gave any of it to Cap 1.
Well...Capital One told me they got the money from NCO...they read off the payments to me. They just couldnt explain why my balance went up over 1000 dollars right after I paid them 1000 dollars. Nobody could explain it to me. I am still surprised that it made my credit score go up so much. I was under the impression that a paid charge off is not better for your score than an unpaid charge off. Either way..like I said...I am not complaining. I just hope Trans Union and Equifax follow suit... Thanks for everybody's help though!!!!
So I did some research on other sites, and determined that the reason why my credit score jumped 65 points after paying this off is because it was the last remaining delinquent account on my credit report. So since I have NO delinquent account on my report my credit score jumped.....does that make sense??? That is the best explanation I can come up with.
Definitely makes sense. Getting rid of the last delinquent account should have a significant positive effect on your credit scores.
