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Yes, interest and fees are still charged when an account is sent to collections or purchased by a third pary collector.

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โˆ™ 2005-05-24 17:11:19
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Q: Can a company who bought a charged off account try to collect interest on the account?
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Can a company who closes your account try to collect interest three years after closing the account?

Yes, if you still owed a balance at the time the account was closed. Just because a company closes an account does not mean that any balances that are owed to them disappear. If your account was closed and there was still a balance outstanding and you did not pay that balance, the company has every right to collect the balance and any interest outstanding.


Can a credit card company still continue to charge interest if the debt has been charged off?

Yes, a "charge off" does not indicate that the debt is no longer valid. The creditor has several options on how to collect monies owed after the account has been charged off.


Can a collection agency charge interest of 1030 to a charge off account that has been paid down to 700 from 4514 but you missed two months?

The collection company has probably charged interest sincethe day they received the account. The interest rate can differ from state to state on a charged off account. So yes, they can but that amount is not just for two months. You need to ask for a total breakdown on the account and see if the interest charged is correct.


What is prepaid interest charged by a mortgage company called?

Points.


Can a credit card company reopen a charged off account?

No, a credit card company will not reopen a charged off account. They may choose to grant you a new line of credit, but this would be rare.


Can a collection agency issue a warrant for a payday loan check that went back?

If a Payday Loan company hires a collection agency to collect on your account they can send your account to an attorney to collect the amount of the loan and any NSF fees that you have accumulated. However, it is stated at the bottom of your contract that if you close your checking account that the loan is made from, that you can be charged with fraud.


Can you repossess a vehicle if it's been charged off on your credit?

Just because the company charged off the account, does not mean that they don't want to be paid...so if the car is still assessible...they can repo it. Charged off on your credit means that it is no longer an active paying account..the company took a loss for that amount. A different department, "Profit & Loss" will take over trying to collect any way possible. Sorry.


Micro Fish Company recognized 10000 of interest expense in 2007 The balance of the company's interest payable account decreased 2000 The amount of cash paid by the company for interest in 2007?

Company has paid 2000 cash for interest due to which interest payable reduced by 2000.


Can a credit card company close your account charge it off and still continue to add late fees and interest to the account?

they can if it contains a balance. if they charged it off and gave you a zero balance and a pay off letter then they cannot. If they closed the account and reduced the amount you owe you are still responsible for the payments including late fees and interest.


Which account shows the amount of accounts receivable that a company does not expect to collect?

Allowance for Uncollectible Accounts


Can a credit card company keep adding interest on a closed account?

Yes, until the account balance is paid in full.


What is considered an active a collection account?

An active collection account is a debt that a company is attempting to collect. This continues until all avenues are exhausted.

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