Re: Embarassed

Posted by Why Chat (209.240.205.61) on January 15, 2004 at 23:05:10:

In Reply to: Embarassed posted by birdland on January 15, 2004 at 22:48:52:

Absolutely nothing "wrong" with paying a bill if you owe it, however in most cases the party you "owe" is not the party who is collecting.

If people who fall behind on their debts were able to pay back what they owed to their original creditors without extra interest and late charges,over a reasonable period of time, and know that eventually the "bad credit" would come off their reports as they paid offtheir debts, there would be no need for this forum.

However, that is NOT the way it works.If someone falls behind because of job layoffs or illness, their interest rates are doubled, late charges and overlimit fees (due to a reduction of a creditline) pile up, all their credit cards raise their interest rates if ONE reports a late month, then the account gets written off, the OC takes a tax credit for the write-off and sells the account to a 3rd party CA for ¢¢ on the $.The CA then duns the debtor for the full amount.

In an ideal world, no one would use more credit than they could pay back.... and our Country wouldnt have a zillion $ defecit either.

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