Legal Question in Credit and Debt Law in Alabama

I have a high balance credit card that was turned over to a collection agency some time ago. They said today it would go back to credit card company and be charged off. What does this mean?


Asked on 2/28/10, 7:22 am

1 Answer from Attorneys
James Patterson Underwood & Reimer, P.C.

That means the credit card company itself will cease trying to collect the amount owed, as they are removing it from their books. However, the debt itself is still out there and additional collection agencies will "purchase" the debt and attempt to collect on it. You may even be sued in court and you could have a lien placed against property you own or your wages garnished.

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Answered on 3/08/10, 6:16 am


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