Time limits for collection efforts are set by the contractual agreement which established the debt, the governing state's laws, the contract between the original creditor (OC) and the collection agency (CA).
There is a different time period for how long this debt may show on a consumer's credit report. The time limit is set by the federal, Fair Credit Reporting Act.
There is yet another time limit during which a consumer may be sued over a bad debt. This time frame, the statute of limitations (SOL) is set by state law as well.
So, the answer will vary depending on which state's laws govern the contracts involved in this debt.
Collection agencies can't add charges. Fees and interest charged to your account are per the terms of your contract with the creditor.
It would depend on the state laws that are apply to collection agencies and collection procedures. In many states they can add fees incurred for the collection of a debt and interest on the amount of the debt itself.
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.
after 180 days of non payment your account will be charged off and turned over to collection agency
Within a 180 days of default a creditor must charge off the account. After which the account is sent to a collections agency who then follows established collection procedures. These are generally implemented in the form of letters and/or phone calls to the debtor. Collection agencies are obligated to conform to FDCPA regulations whereas original creditors are not. If suitable payment arrangements are not made, the agency that "buys" the account may decide to pursue legal alternatives.
Collection agencies can't add charges. Fees and interest charged to your account are per the terms of your contract with the creditor.
It may be zeroed out w/ the orig company because they sold it to the collection people. DO NOT PAY COLLECTION AGENCIES ANYTHING!! google "fair credit act". lots of info
It would depend on the state laws that are apply to collection agencies and collection procedures. In many states they can add fees incurred for the collection of a debt and interest on the amount of the debt itself.
Banks can sell debts to collection agencies at any time. The write off was likely done after the sale anyhow, and the 1098 was for the amount of money the bank lost overall.
Yes.
yes
They are sold to collection agencies and negatively impact your credit report.
I have a charged off account at the bank of 146.00 how do I pay that off when I'm unemployed I have a charged off account at the bank of 146.00 how do I pay that off when I'm unemployed
It shows as a paid collection. Still a negative thing but shows you did settle account.
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.
It varies, but can be a lot.
It would be best to contact both of the collection agencies. If the debt has been sold by one to another, you may still owe fees to first one.