The differences, and if they matter
"Paid in full" means you have paid the total amount due, including interest and fees. "Settled in full" means the creditor has accepted a lower amount to close the account. Regardless if you paid in full or settled, the account will continue to report for seven years (hurting your score).
Whether you "paid in full" or "settled in full," a collection stays on your credit report for 7 years (hurting your score).
