It's a common misconception among consumers that paying off a collection account will make it disappear from their credit report. However, the truth is a collection remains on your credit report for seven years from the date the account went into serious delinquent status. This date is often pegged as the first 180-day late payment on record.
If you're interested in settling a debt that has gone to collections, remember that it may be possible to negotiate with the collection agency or original creditor to remove the negative information from your credit report altogether. Be sure to at least ask before sending any payment, and always request their response in writing.
