Interest On Charged Off Debt
by Pamela
(California)
If a credit card has been charged off and/or sent to a collections agency, can interest still be added to the balance?
Reply from DebtCollectionAnswers.com:
Typically collection agencies can add interest to debts. The amount is determined by state law and/or the contract you signed on the original debt. However, it's not unheard of for debt collection agencies to inflate the amount owed beyond what is permitted by law.
If you think that has happened, we recommend you consult with a consumer law attorney who can help you determine whether the collector has broken the law.
Return to Debt Collection Questions.
Learn how debt collection laws can help you!
This website does not provide legal advice.
All information is for educational purposes only.
Copyright 2007 - 2018 by Mary Reed and Gerri Detweiler.
All rights reserved.
Disclosure: We may receive compensation for marketing some of the services mentioned on this site. Above all though, our goal is to recommend products and services we believe can help our readers. You can learn more here.
