Made partial settlement. Should I go back and settle in full?

Legacy_user

I have a partial settlement on a credit card account from September 2016. I would now be in a position to settle the rest of the debt. Is there any point in doing it (ie. would it then improve my credit rating?) Thanks in advance

binaryuniverse

I personally would keep the cash, rather than worry about my credit rating. That will improve with time anyway.
How long until the default drops off your file? That's 6 years from the date of default. If that's not far off then be paying money for something that's going to disappear soon anyway.

System

OK Thanks Binary

Anthorn

Ashamed_of_Bristol wrote: »

I have a partial settlement on a credit card account from September 2016. I would now be in a position to settle the rest of the debt. Is there any point in doing it (ie. would it then improve my credit rating?) Thanks in advance

Depends on the status of the account: If it's settled it will stay on the credit history for 6 years after the settlement date and paying the whole amount won't have an effect and the credit history will improve when the account drops off your account history.

If the status is default as above but the account will drop off your credit history six years after the default date. Paying the remaining balance should change the status to satisfied but the repayments statuses will remain in the history of the accounts.

You've already made an agreement with the lender to partially pay the debt which the lender has agreed to and I presume you have that in writing. You could offer to pay the remaining balance if the lender removes the account from the CRAs and get that in writing too.

Otherwise keep the money.