I defaulted on a loan 20+ years ago, which has since fallen off my credit report. My credit score today is excellent. If I were to pay the balance being asked for by the current debt owner/collector (25% of the original loan amount), will that affect my current credit score in any way?

  • 3
    Why on Earth would you do that?
    – littleadv
    Jan 12 at 0:46
  • 2
    Because the collector has recently renewed their efforts to collect, which reminded me that there is still an unpaid debt there, whether it is affecting my credit score or not. I have the means, so I’m considering it, but I want to understand the implications. Jan 12 at 5:39
  • 4
    @user11122233341 first understand the legality of that renewed effort. It may be that they can't actually legally collect and are trying to bully you into accepting a new debt. Talk to a local legal aid.
    – littleadv
    Jan 12 at 6:30
  • 5
    If you start creating activity on this debt by making payments it's going to come back on your credit report, which will probably have a net negative effect.
    – Michael
    Jan 12 at 17:59
  • 2
    @keshlam : the old debt might no longer legally exist. But by paying some money to it, this fact could then be used to "activate" that old debt.
    – vsz
    Jan 15 at 8:15

1 Answer 1


What will an improved credit score buy you? Your state that your current score is "excellent", if that is the case why do you need to improve it?

Once your score is excellent (above 750 or so) there is little value to improving it further. If there something that you are trying to do where you will get more favorable terms if your score went a up a few points?

  • Some if us would just rather go back and fulfill past obligations once we're able to. The question is whether doing so will hurt the credit rating. I would have hoped not, but some folks here insist it could and I don't have evidence so I'm taking their word for it.
    – keshlam
    Feb 16 at 18:39

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