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Answered 2008-05-05 13:26:15

Charge off is an accounting term referring to entries made on the creditors accounting books. His accounting makes no difference to the debtor.

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Will an unpaid charge off eventually be waived?

A charge off is an account that the creditor has decided not to collect on. When they are listed as a charge off, that does not mean anything to you except a ding on your credit report. You are still obligated to pay the debt. What usually happens is a third party debt collection agency will make arraingments with the original creditor to come after you. This can be a double dip on your credit report because the original creditor might list it and the debt collector might list it also.

What happens to charged off debt in chapter 7 bankruptcy if you refinance mortgage?

This confuses two different concepts. A "charge off" is an accounting and tax term that means the creditor does not believe a debt is going to be repaid. It gives the lender a tax deduction. A discharge in bankruptcy is a permanent injunction against a creditor taking any action to collect a debt, including debt collection agencies or successors/purchasers of a discharged debt. Assuming the refi of the mortgage happens after discharge, nothing happens. If the refi happens while a c 7 or 13 is still pending, and lowers the mortgage payment, and has been approved by the bankruptcy court, it could affect how much you have to pay to the trustee.

Can a creditor report you as late to the credit bureaus after you file Chapter 7 but before the debt is discharged?


Can a collection agency put a lien on your house because of a charge off?

Yes. A charge off simply charges off the debt with the original creditor but just because it is charged off the creditor still can take action to collect on the debt.

Can a creditor come after you 8 years later after a chapter 13 has been discharged?

If the debt was discharged in the BK, no.

What is the meaning of the phrase 'charge-offs'?

The phrase "charge-offs" is the announcement by a creditor that an amount of debt is unlikely to be collected. This process often develops when a consumer becomes severely delinquent on their debt.

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.

If a creditor did not file during a chapter 13 and then it is discharged will you still have to pay them?

No. If a creditor fails to file a proof of claim on a Ch 13, then they do not get paid and the debt gets discharged.

If a debt was held exempt from chapter 7 but was not reaffirmed do you still have to pay?

Yes. The debt remains valid and collectible by whatever means the creditor chooses to implement.

Can you be sued after a bill was charged off on your credit record?

Yes, a 'charge off' does not invalidate the debt nor the legal rights of the creditor to collect that debt.

If you've settled a debt with a credit collection agency can the original creditor buy back the account and try and charge you again?

No ... you have the proof that the debt was settled.

Can the original creditor charge the debtor for the collection agency fee?

The original creditor can charge the debtor for all fees associated with collection as well as interest. Credit card companies will usually negotiate with you for lowered debt.

Can you personaly be sued for unpaid debt when your chapter 13 was dismissed?

Yes, you can be sued for the original debt, minus any money the creditor received during the 13 plan.

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.

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.

If a creditor charges off a debt can they still go after you for repayment?

Yes, the designation "charge off" does not make the debt owed invalid or uncollectible in any context.

Can a secured debt be taken from you after it was discarged in a chapter 7?

In most Chapter 7 cases you are not including secured property unless you are surrendering the property back to the creditor. If you are holding on to secured property during a chapter 7 process the property must be reaffirmed with the creditor at time of filing meaning you have an agreement with the creditor to leave the property out of the bankruptcy and continue to make your payments. When you discharge debt through chapter 7 it doesn't make sense that you could keep a secured piece of property and not pay for it. Maybe you were unclear about what you were really doing.

How many years does it take for a debt to be written off?

There is no set time for a creditor/lender to cancell a debt. Charge offs are generally done 180 days after the account becomes delinquent. A Charge off does not mean the debt is not still owed and collectible.

Can a debt collector charge you more than your original debt in Texas?

Only if interest is provided for in the instrument creating the debt. If the creditor tries to charge interest to which a debtor did not agree, then that constitutes usury and can, in some instances, wipe out the debt altogether. In some states, the creditor may be entitled to collection costs. ==Additional Information== If the debt collector is collecting on a money judgment rendered by a court post judgment interest accrues and can considerably increase the amount of the debt.

What happens to your cosigner if the borrower defaults on private loans?

The creditor wil try to get the debt from the cosigner as well.

Can a debt be listed on your credit report by the collection agency as two separate entries with one as a charge off and the other as a collection fee?

Yes, the charge off is entered by the original creditor, and the collection fee is a separate debt.

Can a creditor sue you if you are enrolled in a debt settlement program?

Yes. A debt repayment program other than a chapter 13 bankruptcy, does not confer legally binding terms on creditors to prevent them from seeking litigation. AN exception obviously would be if the creditor has signed an agreement agreeing not to file a lawsuit as long as the debt repayment obligation is met. It is however, very doubtful a creditor would agree to such.

If a debt is charged off to you still have to pay it?

Yes. A charge off does not cancel the debt, it is still valid and collectible by whatever means is available to the creditor, including but not limited to a lawsuit.

What happens when a creditor doesn't file a proof of claim in a bankruptcy case?

If it is not a secured debt it will be included in the bankruptcy discharge.

What happens when primary borrower files bankruptcy and the bank goes after the co signer?

Depends- if it was a chapter 7, then the bank can sue the co-signer for the full amount. If it iwas a chapter 13, the creditor is prevented from taking any action against the co-signer for any consumer debt.

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