What a charge-off means and when to dispute it
A charge-off means the lender gave up on collecting the account itself. It's one of the most serious marks, so make sure it's reported correctly.
What a charge-off is
After about 120 to 180 days without payment, a lender usually writes the account off as a loss. That's a charge-off. You may still owe the money, and the lender may sell it to a collector.
How long it stays
About 7 years from the date you first fell behind on the account (the date of first delinquency). Paying it doesn't restart that clock. See how long things stay.
Common errors to look for
- The account was sold but still shows a balance with the original lender and with a collector (the debt counted twice).
- The balance or the date of first delinquency is wrong.
- You paid or settled it, but it doesn't show $0 or "settled".
- It's older than 7 years.
- It isn't your account.
What you can't do
A correct, current charge-off can stay for its 7 years. No company can legally remove accurate information early. You can ask the lender for a goodwill update after you pay; they don't have to agree.
Check yours
Our AI report reader compares how each bureau reports the account, and the letter builder writes the dispute.
Questions
Should I pay a charge-off?
It depends on your situation and your state's lawsuit time limit. Get free advice from a nonprofit credit counselor or legal aid before paying an old debt.
Can a charge-off show a balance after it was sold?
The original lender should show $0 once the debt is sold; only the current owner should show a balance.
General information, not legal advice. Sources: CFPB, FTC. Checked November 2026.