I have paid off every negative account on my credit reports but one fairly large one (and most all of the collection agents said the accounts would be deleted). I have three other things on my credit that are all in good standings (Student loan that was paid off, credit card that I've never been late on, and another charge account). Will doing this raise my score even though there is a large debt on my credit report?

Paying off credit accounts should help raise your credit score. How much it will improve your score depends on a variety of factors. FICO, the gold standard of credit scores, bases your credit score on 5 different factors:

35%: Payment History. This is your entire payment history, and includes all credit in your name. You mention that you've always paid your credit card on time, which is good. It's better to have paid off all your debt in a timely fashion.
30%: Amount Owed. Includes how much you owe and how many accounts, and the proportion of credit balances to credit limit. Because you stated you still have a large account outstanding, you will probably take a hit here.
15%: Length of Credit History. How long you've had your credit accounts. The longer the better.
10%: New Credit. Number of recently opened accounts. This isn't always a good thing, as if you are opening a bunch of new accounts it may seem you need more money.
10%: Types of Credit Used. Breakdown of the number and type of credit you have, such as mortgages, credit cards, installment loans, etc.

It's important to note that you can have more than one credit score. This is because you have 3 different credit reports, 1 at each of the credit bureaus – Experian, Equifax and Transunion. These 3 credit reports don't always have the same information on them, as creditors sometimes only report their information to 1 or 2 of the credit bureaus. It's hard to predict which credit report potential creditors will use, as different creditors have their favorites. So make sure to check all 3 of your reports for accuracy.

I have paid off every negative account on my credit reports but one fairly large one (and most all of the collection agents said the accounts would be deleted). I have three other things on my credit that are all in good standings (Student loan that was paid off, credit card that I've never been late on, and another charge account). Will doing this raise my score even though there is a large debt on my credit report?

Paying off credit accounts should help raise your credit score. How much it will improve your score depends on a variety of factors. FICO, the gold standard of credit scores, bases your credit score on 5 different factors:

35%: Payment History. This is your entire payment history, and includes all credit in your name. You mention that you've always paid your credit card on time, which is good. It's better to have paid off all your debt in a timely fashion.
30%: Amount Owed. Includes how much you owe and how many accounts, and the proportion of credit balances to credit limit. Because you stated you still have a large account outstanding, you will probably take a hit here.
15%: Length of Credit History. How long you've had your credit accounts. The longer the better.
10%: New Credit. Number of recently opened accounts. This isn't always a good thing, as if you are opening a bunch of new accounts it may seem you need more money.
10%: Types of Credit Used. Breakdown of the number and type of credit you have, such as mortgages, credit cards, installment loans, etc.

It's important to note that you can have more than one credit score. This is because you have 3 different credit reports, 1 at each of the credit bureaus – Experian, Equifax and Transunion. These 3 credit reports don't always have the same information on them, as creditors sometimes only report their information to 1 or 2 of the credit bureaus. It's hard to predict which credit report potential creditors will use, as different creditors have their favorites. So make sure to check all 3 of your reports for accuracy.

Ok, past credit messed me up. I have a judgement thats almost paid off. I am trying to raise my credit score.I have 3 new accounts that I've paid on time for over 1 year. I read that one way to raise your score is to " piggy back" on a relatives good credit ( have them add me to one of their good accounts and not use it) Is this safe, is it legal. I would love to hear constructive ways to increase my credit score. Please don't judge me. Almost all of my " bad" credit accounts have been paid off. I put my sons first when the divorce came. They lived in the house that I paid for while I lived in a basement.

Here are a couple of things you can do to raise your credit score quickly.

1) Have a relative with great credit add you to their credit card account. This can raise your score over 100 points instantly, and has not risk to them! Even though your relative can add your name to their credit card account, they don't have risk if they don't give you a credit card.

2) Use your credit cards for monthly purchase, then pay balance down to zero every month. If you have the cash, this is a very quick way to raise your credit score. Remember, creditors cannot "see" your income from the credit report, but they can tell you have financial strength when you pay down your card balances every month. This technique can raise your credit score up to 80 points.

3) Use time. Most people don't realize that a bad credit item has the most weight only in the first two months, then hurts your score even less after 6 months, and even less after 2 years. After 2 years, many bad credit items don't even hurt at all. I know a friend with 6 chargeoffs that are 4-6 years old and her credit score is 620, good enough to buy a house. Sometimes waiting even a month or two for a bad item to age is all you need for your credit score to bounce back.

It doesn't mean you are a bad person when you have a lower credit score. Bad things just happen. Good luck with your credit score!

I'm working on raising my credit score…I have a few credit cards and have paid off one completely. Does your credit score raise immediately or does it take time? How long?

About a third of your score is based on the ratio of credit card debt to limit. Carrying balances of 30% hurts your score; 50% takes a big bite; 90% kills your score. As you pay off your overall credit card balances below those percentages, your score will improve.

Many consumers in attempting to Clean Up Credit Report  and reduce debt seek the assistance of unscrupulous for-profit debt settlement companies. According to a recent report debt settlement companies have been the subject of thousands of consumer complaints with more than 250 companies charged with false advertising. If you insist upon using a for-profit debt settlement company, the Federal Trade Commission (FTC) recently implemented new rules that will hopefully limit your exposure to fraudulent companies.

The main components of the new rules are Fees, Dedicate Accounts and Better Disclosures:

 Fees: For-profit debt settlement companies that sell their services over the telephone are barred from collecting upfront fees before providing any services. Fees may not be collected until: (1) at least one of the consumer’s debts have been successfully renegotiated, settled or reduced; (2) the consumer has agreed to a written settlement agreement or debt management plan; and (3) the consumer has made at least one payment to the creditor pursuant to the written agreement.

Dedicated Account: A dedicated account is a specific account created for deposit of the consumer’s fees and savings for payment to creditors. Debt settlement companies are allowed to request such accounts be created if the creation meet all of the following conditions: (1) the account is maintained at an insured financial institutions such as banks, credit unions, etc: (2) the consumer owns the account including any accrued interest; (3) the consumer can withdraw the funds at any time without penalty; (4) the debt settlement company must not own, control or have any affiliation with the institution administering the account; and (5) the debt settlement company must not exchange any referral fees with the institution administering the account.

 Better Disclosures: Before the consumer signs up for the debt relief services the company must disclose, how long it will take before results are seen, how much it will cost, any negative consequences that could result from using debt relief services and any key information about dedicated accounts if one is required.

I recommend that if you need a third party to assist you in settling your debt as opposed to settling your debt yourself, use a non-profit counseling agency to obtain advice about how to pay your debt and clean up your credit report. These agencies can assist you in setting up a plan of action of reducing your debt, paying your bills in a timely manner and ultimately cleaning up your credit report.

To Clean Up Credit Report with an easy solution is to begin with writing dispute letters challenging incorrect information in your credit report. First, obtain copies of your credit report from all three major credit reporting agencies. Second, review the reports in detail noting any information contained in the reports that you consider as being incorrect whether related to your personal profile or credit accounts. Third, challenge this information by writing dispute letters to the respective credit reporting agency.

One area that you may want to pay particular attention if you are married and share credit accounts with your spouse  is determining whether you are the owner, co-owner or authorized user of a credit account. Owner an co-owner’s are the individuals who sign the application and are approved for the credit card. As an owner or co-owner of an account the legal responsibility for repayment of the debt is basically the same.

 As the sole owner your are responsible for all charges on the account and the repayment of the debt. If you fail to repay, your credit scores will be affected and you are the individual who can be sued. If you are a co-owner the same applies as to responsibility for the charges and repayment. If you fail to repay or pay late or less than the minimum due both co-owners credit scores will be affected negatively. You both can be sued by the credit grantor either individually or jointly. If you are married it’s a double whammy in that both credit reports will be negatively impacted.

 If you are an authorize user of your spouse’s credit card you have no legal responsibility for the charges or repayment. An authorized user is one whom the owner of the account adds to the account in writing to the credit grantor and the credit grantor issues a separate card to the authorized user in their name. The owner will be responsible for repayment of all charges made by the authorized user.

Tip: If the owner spouse is credit challenged or having difficulty in making payments on the card I would advise having separate bank accounts. If you have a joint bank account as most married people do, when the creditor sues the owner of the account and obtains a judgment with the right to seize bank account funds, any monies deposited into the joint account by the authorized user spouse will be seized as well to pay the debt. Understanding that the authorized user can not be sued on the account since they never sign an application which of course includes the promise to repay. Therefore, if you have separate bank accounts only the funds in the owner’s account can be seized. From a budget standpoint divide up the household and other expenses and each person pays their share of expenses out of their separate bank account.

Many consumers in attempting to Clean Up Credit Report and reduce debt seek the assistance of unscrupulous for-profit debt settlement companies. According to a recent report debt settlement companies have been the subject of thousands of consumer complaints with more than 250 companies charged with false advertising. If you insist upon using a for-profit debt settlement company, the Federal Trade Commission (FTC) recently implemented new rules that will hopefully limit your exposure to fraudulent companies.

The main components of the new rules are Fees, Dedicate Accounts and Better Disclosures:

Fees: For-profit debt settlement companies that sell their services over the telephone are barred from collecting upfront fees before providing any services. Fees may not be collected until: (1) at least one of the consumer’s debts have been successfully renegotiated, settled or reduced; (2) the consumer has agreed to a written settlement agreement or debt management plan; and (3) the consumer has made at least one payment to the creditor pursuant to the written agreement.

Dedicated Account: A dedicated account is a specific account created for deposit of the consumer’s fees and savings for payment to creditors. Debt settlement companies are allowed to request such accounts be created if the creation meet all of the following conditions: (1) the account is maintained at an insured financial institutions such as banks, credit unions, etc: (2) the consumer owns the account including any accrued interest; (3) the consumer can withdraw the funds at any time without penalty; (4) the debt settlement company must not own, control or have any affiliation with the institution administering the account; and (5) the debt settlement company must not exchange any referral fees with the institution administering the account.

Better Disclosures: Before the consumer signs up for the debt relief services the company must disclose, how long it will take before results are seen, how much it will cost, any negative consequences that could result from using debt relief services and any key information about dedicated accounts if one is required.

I recommend that if you need a third party to assist you in settling your debt as opposed to settling your debt yourself, use a non-profit counseling agency to obtain advice about how to pay your debt and clean up your credit report. These agencies can assist you in setting up a plan of action of reducing your debt, paying your bills in a timely manner and ultimately cleaning up your credit report.

I have a few things charged off on my credit report from when I was 18 if I pay them off will it raise my credit score?

When something is "charged off", that means the company you owed money too has done what they can to collect from you, without success. So they have used thier insurance and/or resources to cover what was owed to them by you.

So now the bad credit is on your record, but the companies books have been cleared of your unpaid bills.

If you now have the money to pay this bill off, you should have been sent several demand letters from whomever the company you owed the money hired as a collection agency. This collection agency should have all of thier information on how to contact them and what was needed for you to pay this bill off.

If you do not have this money, you can contact the billing center at the company you originally owed the money too and ask them what collection agency they use, or used in your case. Sometimes companies use different collection agencies for different parts of the country.

Once you have the collection agencies information, contact them and tell them you are now able to pay off this charge. You will need your account number(s) and other information from the account(s) you had owed on.

If they still have you in their system, then they can process your payment on this account. You will have to stipulate to them that you will require a signed and notarized letter from them, so you can clear your credit record of this charge. You will need to contact all three credit bureaus (if you are in the USA) and get the address of where to send the copy of this letter, so they can remove the negative ratiing from your credit record.

But….since this was already charged off…….if the collection agency has already charged this off of thier records, you might not be able to get anything done about it.