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There are no time limits for how long debt collection can be pursued. Every US state does have a statute of limitations that designates the length of time a creditor has to file a lawsuit against the debtor. The SOL will differ depending upon the state in which the debtor lives or the debt was made and the type of debt.
What else can I help you with?
What is your business?
When a customer's loan or bill goes into default the company that lent the debtor the money will try to collect the debt. Most debt collectors are from the actual lender or are contractors that have purchased the debt and will try to collect the money from the debtor with interest.
How can a business collect debt?
A business can collect debt by getting a collection agency to collect the debt. A business could also take it up in court or by putting a lien on the debtor's property.
Can a creditor that has charged off a debt continue to collect and put a lien on real property?
Yes, if the creditor sues the debtor and is awarded a judgment, the judgment can be executed as a lien against real property owned by the debtor. A "charge off" does not mean a debt is not valid nor subject to collection.
What is the consequence to the debtor if you are an unnamed creditor in a Chapter 7 and should be?
Any creditor not included in a bankruptcy discharge retains the right to continue attempting to collect a debt. That would include using legal remedy in the form of a lawsuit against the debtor.
When is bad debt expense debited for uncollectible accounts?
when there is certainty that the amount is no longer recoverable, despite all efforts to collect it. Generally when a debtor become bankrupt or die. or the cost of pursuing the debtor to pay the debt is more then debt it self
How can you find out if a debt has been written off?
The term "written off" does not mean the debt has been cancelled/forgiven. The term indicates that the original creditor will no longer continue to collect the debt in the usual manner. The debtor will receive a notice from the original creditor of whatever further action will be taken with the account.
What is the process for resolving debt in court?
Resolving debt in court involves a legal process where a creditor files a lawsuit against a debtor to collect the owed amount. The court will review the case, and if the debt is proven, a judgment will be issued. The debtor may be required to pay the debt, negotiate a settlement, or declare bankruptcy to resolve the debt.
what is meditcredit?
Medicredit is a collection agency. The company attempts to collect a debt from a debtor. Medicredit also does financing for medical practices.
Which states are closed to California debt collectors?
None. A creditor can continue collection actions (including a lawsuit) against a debtor regardless of where the creditor is located or the debtor resides.
If you already paid a debt can a collection agency legally continue to try to collect the debt?
Not as long as you can prove you paid it.
Does a debt collection agency have to go to court to collect?
Yes, a creditor/collection agency must obtain a writ of judgment from the civil court in the state where the debtor resides before any action can be taken against the debtor's property. The debtor will receive a final notice of judgment and be given a specified time to claim all exempted property from judgment action.
Do interest and late fees etc on credit cards stop accruing at the date of death?
In many cases the debt "dies" with the debtor. This of course depends on circumstances, if the debtor was married and lived in a community property state, for instance. The interest, etc. will continue to accrue until the issue is resolved. Either in the debt(s) being paid by the deceased estate, or dismissed by the court. Sometimes an unethical creditor will attempt to collect from a non-debtor spouse, or a family member. This is why it is important to know the creditor/debtor laws of the state of residency.
