Is a “Charge off or Collection” a good or bad thing on your credit report?
Question by tcstorm: Is a “Charge off or Collection” a good or bad thing on your credit report?
Best answer:
Answer by bernieraby43
Bad, try to avoid this at all costs.
Add your own answer in the comments!
No its not a good things.
Any negative thing on your credit report is bad. When you go to buy a house you will have to explain all the charge offs and collections, as well as, why you were late paying on things. This will decrease your credit score and cause you to have points added to the amount that you borrow, which means you will pay a higher interest rate. Which means more money paid out from you.
It’s very bad. This is considered a negative report on your history, and can cost you a lot of points on your credit score.