1099C

Posted by Taziblue (68.130.206.231) on August 26, 2003 at 14:32:38:

In Reply to: Re: unpaid debts... posted by LadynRed on August 26, 2003 at 12:53:03:

Patti and Lady are both correct. In addition, if the creditor issued a 1099C, then that debt is FORGIVEN and no longer exists. The IRS considers that to be income to you and requires you to report it on your taxes for that year. (more on this further down). Therefore, if a 1099C was issued, there would be no debt for anyone to collect.

If you have a 1099C, and you were insolvent, you file a form with the IRS along with the 1099C explaining that you were insolvent. There are three other criteria that can also be used, but this is the most common.

This is just another attempt by a bottom feeder to confuse the issue and muddy the waters. Do yourself a favor and only communicate with them in writing.

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