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once something has been charged off, can someone else pick this up and then re-submit to the credit bureau with a high amount owed?? i has a charge off 4 years ago and they sent it to a new collection agency and they are asking for a higher amount.
Tammy Wilson
Hi Tammy
A charge-off does not mean that you do not owe the money anymore. The amount will not be counted in their book as assets anymore but they may still continue to make attempts to collect the money. If you are being asked by a new collection agency, this isn't anything new.
Don't panic Tammy. This money isn't on their ledgers anymore but they could put a negative marking on your credit report. So, what you can do is call your creditor and find out the minimum payment that you need to make. You can settle a charge-off once your financial situation turns in your favor. It sure wasn't in favor since you couldn't pay the money 4 years ago.
However, in these 4 years the bad effect that this charge off had on your credit report must have minimized. It is also very difficult to remove a charge-off from your report. So, try and negotiate with your creditor and settle for a reduced price. Agree only with what you can afford. If you do so and again fail to pay according to the new agreement, it will have a bad impact on your credit report again. So take care and if there is anything more do write back.