Credit Reporting Question

[unknown1]

Hello to everyone.. new to the forum. Forgive me if this is the wrong section to post in. I have a question regarding credit reporting. If you negotiate a debt down to be paid off at a lesser amount, how does that display on one's credit report? For example, if you $10K on a debt and settle it for $5K, does that display on your credit report as "paid in full" at the $5K amount or does it show something to the effect of "settled", "closed", etc... and still show another $5K remaining? Of course, I cannot get any of the major credit bureaus to answer my question. Thanks!

[jtrenton]

Of course, I cannot get any of the major credit bureaus to answer my question.

Have you tried to ask them? Where are you located?

[Sham11801]

Hello to everyone.. new to the forum. Forgive me if this is the wrong section to post in. I have a question regarding credit reporting. If you negotiate a debt down to be paid off at a lesser amount, how does that display on one's credit report? For example, if you $10K on a debt and settle it for $5K, does that display on your credit report as "paid in full" at the $5K amount or does it show something to the effect of "settled", "closed", etc... and still show another $5K remaining? Of course, I cannot get any of the major credit bureaus to answer my question. Thanks!

You generally wanna make the creditor put the negotiated amount and these stipulations in writing. So you want them to say "Settlement amout $5,000 and we will consider this amount final payment to close this case as reflected on your credit report". You basically want them to committ to updating yuor credit report after the payoff. That's important!