KCG116 Posted April 22, 2009 Report Share Posted April 22, 2009 This is a huge issue/question for all of us that seems to be ongoing...In the past I was told the agency could only collect the charged-off amount and no more. (Even though they all magically pull numbers out of the air).I spoke to an attorney last night. I told him that I have a few collections with random numbers attached to them.He asked me what the interest rate was on my credit cards when I defaulted...HUH?Are they actually legally allowed to keep that ridiculous rate going AFTER a charge-off?No other lawyer has brought this up to me. Link to comment Share on other sites More sharing options...
Robert Nashville/Savannah Posted April 22, 2009 Report Share Posted April 22, 2009 This is a huge issue/question for all of us that seems to be ongoing...In the past I was told the agency could only collect the charged-off amount and no more. (Even though they all magically pull numbers out of the air).I spoke to an attorney last night. I told him that I have a few collections with random numbers attached to them.He asked me what the interest rate was on my credit cards when I defaulted...HUH?Are they actually legally allowed to keep that ridiculous rate going AFTER a charge-off?No other lawyer has brought this up to me.You know, this is almost a duplicate of your other post.In general (and I stress the word general here); a creditor (not the CA) can add whatever amount of interest/fees allowed either by the contract you signed (whether actively or passively) and/or what you state allows on such debts.The balance on a defaulted Credit Cards can rise at what will seem like an exponential rate.Credit Cards are a real blessing arent' they? Link to comment Share on other sites More sharing options...
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