If I were to pay all my debts by settlements with the CA's how long would it be reported on my CR as such? Seven years from the date I paid it off(by settled for a lesser amount) or seven years from first date of delinquency. Also I want to buy a house soon after I pay all these off. Would it look better to the lender if I "paid after collections" or "paid settlement"?
I would attempt to negotiate a pay for deletion. Otherwise it's probably not going to help your score enough to buy a house.
It all depends on what your score is... You will need to have those collections paid with proof either from a letter from them or is showing paid on your report to get a loan. I have collections on my report but still qualify for a mortgage because they are paid.
