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How long after can a creditor sue you in Florida after a charge off?
Wiki User
∙ 15y ago
The charging or writing off of a debt is only a (required) accounting entry by the creditor. It does not effect you, or change the amount you owe, or that you owe it.
It does not change any of the legal methods to force collection that were available before making the entry.
All it does is make the creditors accounting statement recognize that an asset (your receivable) that it expected to realize, (and already recorded or "accrued" as income), is not going to happen. They are recording the charge to their books for the expense (or over recording originally) of your not paying what was expected. It says that it is now considered unlikely you will pay, and the asset does not exist (or in bank terms, is no longer productive).
It does not mean they won't pursue it...in most cases, because they have an obligation to stockholders and others, they must. If they get paid (anything or all on it), that amount is considered income and booked as a recovery to replace what they took as a a charge in the write off.
How long a debt may be pursued depends on many items, including what it is for, the last time there was any activity on the account, actions the debtor may have taken, etc.
Wiki User
∙ 15y ago
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Can a creditor remove a charge off?
Yes, a creditor can remove a charge off from your account and your credit reports. Credit bureaus can also delete charge offs from your credit report if they are disputed and not verified.
Can a creditor in Arizona report you as a charge off when you are still making payments on the vehicle?
Only if they actually took the charge off.
Does a creditor who buy's a charge off have a right to file a civil suit?
As long as the debt hasn't reached your States SOL for legal recourse
When is a charge off removed?
A charge off will stay on your credit report for 7 years unless removed by the original creditor or the credit bureaus. You can dispute a charge off with the credit bureaus and they must verify it with the original creditor with in 30 days or it must be removed from your credit report.
How long after a charge off can a creditor sue?
Charging off the debt has not impact on the creditor's ability to sue. Charging off is simply a write-off for tax purposes. A creditor can sue any time prior to the expiration of the statute of limitation regarding of whether or not the debt has been charged off. The applicable time deadline will vary from state to state and depending on the type of debt.
Can you dispute a charge off account?
No. Once an account has been in default for 180 days, the creditor by law must list it as a charge off.
What is the difference between pre-charge off and post-charge off accounts?
A pre-charge off is when the creditor is giving the debtor notice that the account is in default and will be sent to collections if a payment agreement is not made by a specified date. Post-charge off is when the account has been sent to collections, sold to a third party creditor or referred to a legal firm for further action.
What are charge offs?
Charge offs are accounts that have been written off by the creditor as uncollectable. The debt owed is still valid and can be collected on either by the original creditor or by a collection agency. You can only erase charge offs by disputing them to the credit bureaus or negotiating the removal by the original creditor.
What are the consumer tax implications from charge off?
The charge off is the declaration by a creditor that an amount of debt is unlikely to be collected. The implication that it increases the consumer tax.
What does a charge off mean on my repo'd car?
Your creditor added a negative entry (a charge-off) to your credit report and will continue to attempt to collect on the debt.
Can a lawyer garnish your wages after the creditor has written it off as a charge off?
Absolutely, but he must obtain a judgment first.
Would a creditor be better off to settle for 30 percent of the total due in the case of a charge off rather than have the debtor file for bankruptcy?
This question could only be answered by the creditor.
