Re: Charge off? Judgement?

Posted by Taziblue (68.130.210.102) on June 06, 2003 at 11:25:04:

In Reply to: Charge off? Judgement? posted by Anon on June 06, 2003 at 11:14:27:

A charge off is an accounting procedure which is required by law. The company must charge off the debt 180 days after the last payment. That does not discharge the obligation of the debtor to pay.

A judgement is the result of a lawsuit. If the creditor sues the debtor and wins, the result is a judgement in favor of the creditor.

If the person sued (the defendant) does not answer the lawsuit or does not show up in court, the person or company that sues (the plaintiff) wins by default. That is called a default judgement.

A judgement gives the plaintiff certain legal options to collect the debt.

If you have not been sued, then there is no judgement against you.

Also, a judgement can be collected for a longer period of time than a debt. For example, in Florida, the statute for credit card debt is four years...the statute for a judgement is longer.

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