When you’re trying to clean up your credit score, you can’t help but want to pay things off. But that may not be a good idea. Keep in mind that when you’re not paying, the lender isn’t happy. So, you actually have an upper hand in this situation with negotiating power. After all, they do want their money.

Instead of letting any negative marks stay on your credit report for seven years, use your leverage.
Call the company up and make a deal to settle in exchange for the negative mark to be removed from your credit report.

Never settle a debt without first obtaining a written guarantee from the company stating it will remove any and all negative information pertaining to the debt from your credit history. This written, signed letter must be received before giving them the money.
This goes for the original debtor or the collection agency. Word of mouth isn’t the same as in writing.

If a creditor tells you it won’t remove the negative information, that’s okay. But it’s not because they can’t, it’s just because they don’t’ want to. So, if you don’t get what you want, they don’t’ get what they want. Simple as that.