I know that in order to get a mortgage you have to pay off all the outstanding charge-offs and collections, etc. on your credit report. But what if... the charged-off account was sold to a collection agency so that the original creditor now shows a balance of zero, but the collection agency is no longer reporting the debt (deleted off report). Will I be required to pay the OC for the charge-off?
(Not an expert) I'd guess you wouldn't have to. However, what if between the time you apply for the mortgage and closing, the CA decides to be a jerk and throws it on your report? Some mortgage companies will do another credit check before the closing and if the CA suddenly shows up it might cause some problems... Depending on how old it is and the amount, it may not be a problem even if it did get reported. However, having just closed on my first house, I was a nervous wreck thinking something might show up on my report (nothing did, and the mortgage co didn't even pull another report, but still...) Good luck!!
