Hello,
I'm trying to repair my credit score and one big item to fix is getting the one charge-off removed from the report. I'm 20 years old, have almost no credit history besides my school loans which have been active for about 2 years, I have no credit cards, and besides the loan that was charged off - all the others were paid on time every time.
I had an auto loan for $1000 that was charged off and sent to a collection agency. I have been reading that it may be possible to negotiate and have this negative mark removed. The only problem is - I have no leverage. I paid off the debt in full a month ago and just now I am reading that I could have used the left over amount owed to negotiate a less negative mark or perhaps removed all together.
Is there any way to get this charge-off removed or lessen if I have already paid off the loan?
Thanks
Hello bkunke1, You are correct, at this point you do not have any leverage. That though should not stop you from trying to get the mark removed. I would suggest giving the collection agency, or if the original creditor has it, a call. Soemtimes auto places will hire collection agencies to collect debt for them. If this is the fact you will need to contact the original creditor. A quick call can tell you who exactly you would have to deal with.
Remember its worth a try, the worst they can say is no.
Since the charged off account has already been sold to collection agency, it is not possible to remove it from your credit report. Charge off can be removed only if the account is still with the original creditor and you negotiate with the OC for PFD. Moreover, pay for deletion is not possible if you have already paid off the debt because the creditor loses incentive to remove the item from your report once the debt is paid off.