Re: Charge off
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Posted by Linda (65.120.51.155) on June 07, 2002 at 10:24:55:
In Reply to: Charge off posted by Paula on June 06, 2002 at 14:10:20:
A charge off is really an accounting procedure. If you haven' paid after a specified amount of time, the creditor "writes off" the debt as being uncollectible. It makes them look better - one less delinquent account for them. After they charge the debt off, they sell it to somone who invests in bad debts for profit. For you it means that you probably have another negative on your credit report (a charge off is bad) and that pretty soon some collection agency will start trying to collect this money from you. They will start putting negative entries on your credit report. First they report the account as a collection account, and often they put additional entries on your report, just to get your attention. Paying a charge off or collection will not remove it from your credit report - it will probably be there for a long time whether you pay it or not, even if you start right away trying to straighten this out, it will haunt you for a long time. Is this your account? If so, do you have the money to pay it? Linda
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