conversation: User (credit_card_qs): "As noted in the title, I have an outstanding credit card debt of $3500 that was charged off by the bank in 10/2012. I am young (26) and have been a little financially stupid for the past few years, so I haven't really made any movement on this debt. It was my only credit card, and I haven't applied for one since.\n\nDumb, but what's done is done.\n\nMy question is what should my next steps be? My credit score is low, obviously, at 560. I would like to build that up but I"m not sure what I should do about my outstanding debt. I reviewed my credit report and my old account is marked 'Closed - Deragatory' with a balance of $3500. I can easily pay off that account, but I don't really know how exactly to do that (my account with the card company is closed) or the ramifications of paying off the debt on my credit score. In addition, I would like to open another card - most likely a secured card at this point to build up my credit - but is that actually going to help my score when I have this delinquent account on my record? Finally, what are the implications if I just don't pay it? i haven't paid it thus far and there isn't aren't any collections in my credit report. \n\nI imagine I am not the only person who has gone down this path, so advice on how to resolve this situation would be greatly appreciated. "
  Self: "I added topic flair to your post, but you may update the topic if needed ([click here for help](/r/personalfinance/wiki/flair)).\n\nYou may find these links helpful:\n\n- [What's the best way to pay down my debt?](http://www.reddit.com/r/personalfinance/wiki/debt#wiki_what.27s_the_best_way_to_pay_down_my_debt.3F)\n- [Dealing with collections](http://www.reddit.com/r/personalfinance/wiki/collections)\n- [Credit repair](http://www.reddit.com/r/personalfinance/wiki/credit_building#wiki_i_have_bad_credit.2C_and_i_am_looking_to_repair_it.)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"
  