Brokestudent2012 Posted January 2, 2012 Report Share Posted January 2, 2012 A credit card company forgave my debt and sent me a 1099-C (YAY!), but listed the account on my CR as a 'charge-off'. Is this correct, and is there any way for them to possibly just remove the account altogether? Link to comment Share on other sites More sharing options...
Coltfan1972 Posted January 2, 2012 Report Share Posted January 2, 2012 Is this correctYes Link to comment Share on other sites More sharing options...
racecar Posted January 2, 2012 Report Share Posted January 2, 2012 coltsfan wont he have to declair that debt as income with the 1099 form. Link to comment Share on other sites More sharing options...
Brokestudent2012 Posted January 2, 2012 Author Report Share Posted January 2, 2012 @Racecar, I will have to declare it as income on my taxes, yes. :/ Link to comment Share on other sites More sharing options...
Coltfan1972 Posted January 2, 2012 Report Share Posted January 2, 2012 coltsfan wont he have to declair that debt as income with the 1099 form.Yes, but the question was if it is being reported correctly on his credit report, and it is being reported correctly. But you are correct, it does have to be reported as income for tax purposes. Of course there are ways around having to actually pay the tax on that amount which I would guess almost all of us fall into, but it is income and it is being reported correctly. Link to comment Share on other sites More sharing options...
CreditMaker Posted January 3, 2012 Report Share Posted January 3, 2012 A charge-off is when the creditor accepts less than originally owed. When the credit company forgave your debt they settled for what you had already paid.Originally Posted by Brokestudent2012Is this correct, and is there any way for them to possibly just remove the account altogether?Yes it is correct. Not without paying to have it removed. Link to comment Share on other sites More sharing options...
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