Legal Question in Credit and Debt Law in California
I had my motorhome voluntarily repossessed in Oct. of 2012. They sold it for a low price and sent me a bill for the balance. I have not paid them a dime since then.
All three credit reports show a Charge Off, in addition one said SKIP.
Is there a time limit where they can no longer attempt to collect from me?? I haven't heard from them for over a year.
1 Answer from Attorneys
Four years from when they sold it and you didn't pay the balance is their deadline to collect. However, they can report the fact that you failed to pay and they had to charge off the debt (which is an accounting and tax exercise NOT a forgiveness of the debt as some people seem to think) on your credit report indefinitely. The fact that a debt cannot be collected does not mean it goes away as far as being a debt not repaid for credit purposes.
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