Legal Question in Credit and Debt Law in Maryland

Interest?

Seven years ago, my credit card account of $3,500 was closed per my request due to loss of employment. Last September, I was contacted by a law firm by phone and mail in an attempt to collect the debt. I was numb to learn that the bank continued interest on the account, which swelled the new balance to $7,800. What am I missing? The debt is being garnished out of my wages. I have disputed the interest with the firm and would like to release the attachment so that I could satisfy the original balance and my other obligations. What can I do?


Asked on 2/16/00, 3:50 am

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Interest?

Interest does not stop when you close the account. In fact, it may increase if you default by stopping payments. Your only option would seem to be to work out a deal with them to pay them a reduced lump sum faster than they could get it out of your wages.

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Answered on 2/22/00, 10:48 pm


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