Can a Credit Card company write me off as a charge off /turnover to collection agency and still charge me interest?

If the account has officially been turned over to a collection agency, the account is no longer with the credit card company. The credit card company will list your bad debt as a loss and receive a tax break for it. At that point they no longer have any control over the account.

If they are still charging you interest, it may be that they have told you they are turning the account over to a collection agency, but have not yet done so. In this case, I would call the credit card company and ask the status of the account. If they tell you it has been charged off, then ask why interest is still accruing.

I contacted the credit card company (capital one), they have listed my account as a charge off to bad debt as of feb 2011 however they are using a company "united recovery", who from what im told is not a collection agency but assisting in collecting debt, to negotiate with me. I had two capital one reps on the phone tell me they can still charge me interest even if its listed as a charge off on my credit report. Is this legal?

If its not what can I do? Attorney Generals office? Better bureau?

NYBuckeye 3 months ago .

Apparently they have listed your account as a charge off status, but have not officially charged off your debt. It looks like they are trying to work out some kind of an arrangement. I know you probably don't have the terms of your credit card agreement that you signed.(This the material that comes in the mail explaining all the terms of the credit card.) Most people don't read it and throw it away.

Here is some information from their account default section of their terms. "For certain actions, including changing the rates and Fees on your Account, our options appear in our original offer materials when you opened your Account. Remember, paying the Fees charged in connection with a default will not by itself cure the default.

In addition, if you are in default, we may take the following actions without notifying you, unless the law says that we must notify you:(1) close or suspend your Account;(2) lower your credit limits;(3) increase your minimum payment;(4) demand that you immediately pay the entire balances owing on your Account (for example, as described in the Minimum Payment section);(5) continue to charge you Interest Charges and Fees as long as your balances remain outstanding; and/or(6) pursue any other action against you that the law allows, which includes the filing of a lawsuit against you. You must pay us all of our collection expenses, attorneys’ fees and court costs unless the law does not allow us to collect these amounts."From the wording here, it appears you signed the credit card agreement that stipulates they can charge interest on an balance in default. That makes what they are doing legal.

Here is a link to the site. The information is on page 6 under account default. capitalone.com/creditcards/pdfs/005_Cons... pdf?

Linkid=WWW_1010_CARD_TGAFF01_CCCA_C1_01_T_CAPDFCOBNA.

I see, I was a little confused and like most people did not read the terms. I have sent out at least 4 letters (certified) negotiating a settlement balance with very little luck. I would send a letter requesting the settle the debt right now in full and receive a response saying "thank you for your quick response regarding this debt and we agree on YOUR settlement of (a much higher balance then what I had)".

Its seems like this a sick game they like to keep playing. I really appreciate your time and information and you have been very helpful. NYBuckeye 3 months ago .

I agree with you. These credit cards and their terms are a real pain in the butt. The federal government keeps changing the laws regarding credit cards, and the credit card companies keep sending out revisions to the rules with a little asterisk at the bottom saying if you don't agree with the terms, you have the right to close your account.

Of course, almost everyone has a balance, so if you close the account you have to pay the balance. Since most people don't have the cash to pay the full balance, they can't technically close the account. They can stop using the card, but the account closes when the balance hits $0.

Since the terms were written by lawyers, where does that leave the consumer. Trying to understand all this legal stuff is not easy. Hope you get everything worked out.

I cant really gove you an answer,but what I can give you is a way to a solution, that is you have to find the anglde that you relate to or peaks your interest. A good paper is one that people get drawn into because it reaches them ln some way.As for me WW11 to me, I think of the holocaust and the effect it had on the survivors, their families and those who stood by and did nothing until it was too late.