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If your credit card account was charged off and sold to a collection agency should the credit card company report it as being paid satisfactory or a collection charge off?
Wiki User
∙ 18y ago
Having your credit card or any other account 'charged off' or reported as a 'collection' means that your balence had not been paid satifactory up until that point. If you pay these derogatory accounts after they have been charged off or reported as a collection account, and one should always pay them off, then the company should report the new status to the credit bureaus. (this is something you should keep your eye on to make sure they are following protocal). This however, will not remove the fact that they were charged off or in collection at some point. It will simply show the charge off/ collection as being paid in full. With that being said, once the C/O or Collec. accounts are paid, they will still have a negative effect on your credit score for quite sometime, but will have a much lesser effect than having not been paid off. Also, if a derogatory account is not paid, often the company will report the charge off or collection multiple times for years to come. Each reporting will negativly effect your score and in turn, continue to bring your score down. Contacting the companies that are reporting you to the bureaus, either before they go into collections or after, is always a good idea to keep them from pursuing further action against you.
Wiki User
∙ 18y ago
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Can a sold credit card account be collected on if the account is reported as charged off with a zero balance?
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
If the bank charged off the account and send a 1098 form to the IRS can the bank later sell the account to the collection company?
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.
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.
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.
What does it mean when your credit report states that you have a paid closed collection account on you credit report?
The original account with a normal credit company went to a third party collection agency. Only after it went to the collection agency was the debt paid and then the account closed.
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 the usual action of credit card company's toward nonpaying creditors?
Well after 6 years of not paying a dime to household bank the account has been charged off and the collection company is sueing me.
Can a sold credit card account be collected on if the account is reported as charged off with a zero balance?
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
Why does your credit report have chargeoffs when you have paid all the creditors off?
in most cases your original crediter, say sears, charged off your account and then turned it over to a collection company. the collection co bugged you and you paid the amount owed. in this way you did pay in full but prior to paying in full Sears charged it off as a bad debt. the collection company got 50 60% of the total amount you paid.
If the bank charged off the account and send a 1098 form to the IRS can the bank later sell the account to the collection company?
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.
If your bank charged off your bank account and was bought out by another company do you still have to pay?
yes the debt does not go away, the bank simply sold the debt to an outside collection agency.
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.
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 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 company who bought a charged off account try to collect interest on the account?
Yes, interest and fees are still charged when an account is sent to collections or purchased by a third pary collector.
How do you find out who to pay when something is charged off by a company?
Trust me, they will find you. "They" being whatever collection agency takes on the account. It may take a little time, but you will be notified, either by telephone, mail or both.
Where do you pay collection accounts that are reported on your credit report when the company is out of business or no longer handles the account that was reported for collection?
You pay the collection agency.
