You could send them a pay for delete letter asking them to remove the negative item from your report after it is paid. This is usually done before paying off the debt. But it's still worth a try. It's no guarantee that they will remove it either way. But I would still send the letter. Good Luck
At this point you have already paid the taxes on the debt through the 1099c form and have been released from the debt. The debt is most likely going to stay on your credit report for the next seven years. Just because you pay the taxes on the debt does not mean it will be pulled from your report. Even debts that have been settled will still show as paid;settled for less. Which is almost as bad as not being paid.
Your personal details (name, email address and phone number) will be delivered to the company advertised on the Creditmagic after ve agreed to go for the counseling session by filling out the no-obligation form. However, it is your discretion to accept or reject their services.
Not all the creditors/debt collectors agree to trim down the outstanding balances, interests, and fees payable by the consumer.
Consumers working with the debt relief companies can still be sued by the creditors/collection agencies.
Debt relief services may have a diminishing effect on the creditworthiness of the consumer. The total outstanding balance may increase as the additional fees get accrued.
The overall amount saved by the consumer through the debt relief services is considered as taxable income by the IRS.