u/SpanishPasta

Hey there,

I know I might sound like I’m asking some basic questions, so please bear with me. I’m trying to fix my past mistakes and learn as I go. So, here’s my situation: when you have debt that’s been sold to a debt collector, how does that impact your credit score? I’m guessing it’s already taken a hit.

Also, if I pay back that debt to the collector, will it help improve my credit score, or does it not really matter anymore? Someone told me once that once the debt is sold, paying it off doesn’t help because it’s already damaged your credit, and the debt collectors just keep the profit.

I’d really appreciate some honest, informed opinions on this. Negative comments will be ignored—I know getting into debt isn’t ideal, and I get it. My goal for 2024 is to get out of this mess by working hard.

Would love to hear some solid advice on how to effectively get out of debt!

Spent two years stressing about $4,200 in medical collections and avoiding my credit report because I did not want to see the damage.

Turns out the rules around medical debt and credit reporting changed and the impact is significantly less than I thought. I made some financial decisions based on how bad I assumed my credit was that I probably would have made differently.

If you have been avoiding your credit situation because of medical collections, it might be worth looking at the current rules before assuming the worst. Anyone else find out something like this later than they should have?