Yes, the financial process of charging off a bad and unpaid debt just allows for the credit issuer to take a loss of the money you have not paid. Often they are required to do this to comply with Generally Acceptable Accounting Principles in that there is only so long they can count that owned money as an "account receivable" which is an asset on a balance sheet.
The charge off process in no way forgives you of the responsibility or obligation on the debt, even if the debt is sold to a third-party afterwords. The sale and/or assignment of the debt to this third-party has all the rights and powers of the issuer in regard to collecting that unpaid balance, including filing a lawsuit in civil court.
Yes, they can collect from the parents or legal guardian.
No, as they are the legal agent of the original Creditor and the arrangements made with the collection agency are binding on the original Creditor.
no ,they also cant call before 9 am or after 9 pm
If the original creditor charged interest then the collection agency will continue to accrue interest at either your states legal rate or whatever you agreed to in the original contract until the debt is either paid or sold to another collection agency or placed with an attorneys firm for legal litigation.
Yes, the debt is a legal "thing" and can be sold on to other organizations for collection.
When that person died, his assets became part of his estate. The debt you owed him became one of those assets. The legal representative of his estate has an obligation to collect the debt from you and has the full legal power to do so, either directly or through a collection agency.
There is no time limit placed on their collection efforts to collect a debt. However, there is a SOL for legal recourse and for how long it can report on your credit reports. Reporting time is 7 years and so far as the SOL for legal recourse you would have to check your state laws to see how long.
If the bill is unpaid, a collection agency can attempt to collect forever if they choose to. Nothing illegal about it.
Before making any commitments to a collection agency, you should get confirmatio from the original creditor that the collection agency has legal authority to collect at settle the debt.
When you default on some debt, the original creditor writes it off. When they write it off, they usually sell it to collection agency. Since the collection agency bought it, it becomes theirs. If they try to collect and you don't pay, they can sue you. Learn your rights by reading up on the FDCPA.
In general, debt collection agencies are required to follow the Fair Debt Collection Practices Act, which prohibits them from discussing your debt with third parties, such as your landlord, without your permission. If a debt collection agency is sharing information about your debt with your landlord without your authorization, they may be violating the law.
It would depend on the agency's established collection procedures. Usually the cosigner is notified after all attempts to collect from the original debtor have failed. The CA will then attempt to collect the debt from the cosigner before deciding whether to inititate legal action.