When a consumer fails to make timely payments and becomes severely delinquent
on a debt, their creditor may “charge off” the account, meaning
that the creditor does not anticipate repayment in the near future. This
in no way affects your obligation to pay what is owed, but it does mean
that the account will change hands and you will be pursued for payment
by a collector.
As a delinquent account ages, such as an old credit card debt, the effect
the account has on your credit score should lessen. However, it is not
uncommon for collection agencies to report the date that they purchased
an account as the date the account was last active rather than the date
that the original creditor charged off the account, lengthening the amount
of time your debt affects your credit score. This is a commonly abused
area of credit reporting which could unfairly have a severely negative
impact on your credit score.
How an Attorney Can Help You Fight Charge-Off Fraud
In order to correct this situation, it is important to contact a Chicago
consumer lawyer at Sulaiman Law Group, LTD. We can review your credit
report and track the history of your debt from its original creditor to
the current collection agency. For example, if we find that your original
creditor charged off your account in June 2006, but the collection agency
pursuing payment recorded a date of last activity in 2008, you have a
dispute that warrants investigation. Our top-rated legal team is prepared
to help you fight this fraudulent activity and have the negative information
removed from your credit report.
Protecting Your Consumer Rights Since 2004
Sulaiman Law Group, LTD has tenaciously and intelligently protected the
rights of consumers in Chicago since 2004. With years of combined experience
and an A+ rating with the Better Business Bureau, you can feel confident
turning to us for legal counsel. We encourage you to get in touch with
a Chicago consumer lawyer at our firm to schedule an initial case review.
Click here to fill out an
online contact form, or simply call our office at (312) 313-1613.
We’d be happy to help!