Guide · updated November 12, 2026

Collections on your credit report

A collection account can hurt your credit score for years. Some can be removed, some can’t, and paying one doesn’t always help as much as people expect.

How long a collection stays on your report

About seven years, counted from when the original account first went delinquent and was never brought current. That date doesn’t change when the debt is sold, when you pay it, or when a new collector takes over. A collector that reports a later date to keep it on your report longer (“re-aging”) is breaking the law.

The same debt can appear twice: once from the original creditor (often as “charged off”) and once from the collector. Only one of them should show a balance owed.

Disputing errors

Get your reports free from all three bureaus at AnnualCreditReport.com. If a collection is wrong (not yours, wrong amount, wrong dates, already paid, or duplicated with a balance), dispute it with each bureau that shows it, online or by mail. The bureau usually has 30 days to investigate and must delete or correct information that can’t be verified. Dispute with the collector in writing as well.

Medical collections

Equifax, Experian and TransUnion don’t include paid medical collections or medical collections under $500, and they wait a year before adding new medical collections. A 2025 federal rule that would have removed all medical debt from credit reports was struck down in court, but several states limit medical debt reporting under their own laws.

Does paying a collection help your score?

It depends on the scoring model the lender uses:

• Newer models (FICO 9 and 10, VantageScore 3.0 and 4.0) ignore collections that have been paid.
• FICO 8, still the most widely used, counts paid collections too, although it ignores collections with an original balance under $100.

Either way, a paid collection looks better to a person reviewing your report, and many mortgage lenders want collections resolved.

Pay for delete

“Pay for delete” means agreeing to pay in exchange for the collector asking the bureaus to remove the account. It isn’t illegal, but the credit bureaus discourage it, and many large collectors refuse. Some agree, especially on smaller or older debts. If you try it:

• Get the agreement in writing before paying, with the exact wording that the account will be deleted, not just updated to “paid”.
• Pay with a method you can trace, and don’t give the collector ongoing access to your bank account.
• Check your reports a month or two later and dispute if it is still there.

For accounts reported by the original creditor, a “goodwill” letter asking them to remove a late payment or charge-off sometimes works, especially if the rest of your history is good.

Settling for less

Collectors often accept less than the full balance. The account will usually show as “settled” rather than “paid in full”. If $600 or more is forgiven, you may get a Form 1099-C and owe tax on the forgiven amount, unless an exception such as insolvency applies.

Credit repair companies

You can dispute errors yourself for free. If you hire a company, federal law bars it from charging you before it has done the work, and it must give you a written contract you can cancel within three days. No one can legally remove accurate, current information.

This guide explains federal law in general terms. State laws add protections, and every case is different, so it isn’t legal advice. For help with a lawsuit, contact a local legal aid office or a consumer attorney.