Jump to content

Charge off-no money owed?


Ruby
 Share

Recommended Posts

Heres the story. I send a verification letter to OC (card services). they send me back cpu print outs of all the bills I recieved dating back to 6/2000, account was opened on 4/2000. No application with my signiture or anything else was sent. The way I see it that is enough to verify with 3 CRA's. But heres my question, On the last bill they show that they charged off my account and that the new balance is $0.00. Activity states Principals and finance charges were charged off and that I owe nothing. Can they still seek the money I owe.

P.S. for those of you thinking SOL. Last payment was 4/24/2001

Link to comment
Share on other sites

You'll need to check your credit reports to be sure, but if their TL shows $0 balance, they may have indeed written it off. The TL may also show "sold to another lender", in which case a JDB will be contacting you shortly.

You might try contacting them and demanding your 1099c for the "forgiven debt". In effect, this turns ownership of the debt over to the IRS and you will owe taxes on it...but, it may protect you from action by a JDB.

Link to comment
Share on other sites

TransUnion] Charged off as bad debt

Profit and loss write-off

[Experian] Unpaid balance reported as a loss by the credit grantor.

[Equifax] Charged off account

Credit card

Thats what i'm getting from my CR's the balances on the report show $826 on all 3 CRA's

Link to comment
Share on other sites

Okay, I'm confused...I thought you said the balance was $0.

The terms "charge off" and "write off" don't mean anything. They're accounting terms for the OC's books...by themselves, they don't mean anything to you. If the TL still shows a balance, they can still try to collect.

However, if their TL line shows a balance of $0 and includes the words "sold to another lender", then they've sold it to a junk debt buyer. You now longer owe the OC...but...you should contact them and demand your 1099c. You will owe the IRS.

If the JDB trys to collect, wave the 1099c at them. There have been court cases that effectively say that once the 1099c is issued, the IRS "owns" the debt.

Link to comment
Share on other sites

I recieved my last couple of statements from them, this is were it says balance owed is $0. on the CR it does show a TL balance of $826. What i'm trying to get at is, can I use the statements they showed me to try and get a 1099c? Can I do something in court and show this statement which they sent me.

Link to comment
Share on other sites

I tried disputing with the CRA's already and they all came back "verified". I will try to dispute again and show the last statement from Card Services that states I owe $0. Thanks alot guys for all your help I will keep you informed.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.