Paying to off doesn't matter, you need to worry about weather or not it gets
resold or not... everytime your debt is sold to someone else the close
restarts. Make absolute certain you ALWAYS get written guarnatee to the
terms before you make any sort of payment

Shhhh

"debtprob" <r141999[at]yahoo.com> wrote in message
news:1162672724.269923.107900[at]h48g2000cwc.googlegroups.com...
- quote -

I do know that this is incorrect, it is 7 years from the
date it is first written or charged off. This was clarified
in the law several years ago. What I'm wondering about
is a debt settlement is a whole new event. I specifically
asked the FTC when I called and they said it can be sold
many, many times and it would not restart the clock.


Charlie wrote:
- quote -

In my book "restarting the clock" is almost irrelevant. The collection
agencies can do a lot of things like sell the claim to another agency.
Each time it is resold it will "restart" the timer and can be posted
anew to your credit record. I do not even remember the handful of other
things they can do to keep the debt going almost forever. I have been
advised that a 40% discount is about as good as it will ever get. Tell
them to send you a letter stating the amount of settlement and promising
to post the clearance of the debt to the credit reporting agencies.
Insist that they will not get any money until you have such a document
in your hands. Then you can copy the document with your check and have
some proof of paying it off. If you do not pay the debt off then you
can expect to be harassed periodically pretty much forever. Also, the
discount will be reduced on a time schedule.

Re: If I settle a car loan that was charged off 4 years ago,
for 60% of the balance, does this restart the 7 year
clock for this negative item to be removed from my
credit report?


Hello, I had a car installment loan for $5000. I got behind
and the entire $5000 balance was charged off in 2002. I have
recently been contacted by a collector, and they tell me they
will accept a settlement of 60% of the outstanding balance.
I know I will have to pay federal income taxes on the amount
they forgive.

However, my question is this: Will my 2002 clock be "reset"
to 2006---meaning the negative reporting period of seven years
will not come until 2013?

As it stands now, the 2002 chargeoff is due to go away in
2009 or so. . .

I have searched the internet quite a bit, but haven't found the
answer to this particular question. Any help would be appreciated.
If you could cite a source, that would be great too. Thank you.