I turned over one of my credit card debts to a debt negotiation company. I currently checked my credit report and this credit card shows status of closed. Write off of $xxxx. A credit collection company now shows up on my report as a debt purchase account – and has $xxxx – $100 listed as the balance but it doesnt show who they bought the credit debt from
I checked with my negotiation company and they show that it has now been turned over to a law firm collection agency and it shows a balance of $1000 more. The negotiation company claims that a firm that buys debt can charge interest of whatever they want.
My question is can a purchased debt be charged interest – i do not have a contract with them, i have a contract with the original credit card company who have closed the account with a $0 balance.
Am I under obligation to pay a debt purchaser since my contract is not with them and my credit company shows a $0 balance.
Can the credit card company recall a debt back if it has been sold and try to recollect that debt by turning over to a law firm?
How can i find out if the original credit card company has recalled the debt and who it has been turned over to.
Here are the answers to your questions as I understand them to be:
If the debt buyer purchased your debt it should be in accordance with the terms of the original contact you signed.
The debt buyer will allege they bought your contract and are now the owner of that agreement and debt due.
Once a credit card company sells a debt they are done with it.
The best thing to do would be to pull a consolidated credit report and see who is reporting the debt. The credit report will contain contact information.
It doesn’t really seem there is any doubt that you incurred the debt, just on how to pay it back. is that correct?
If you have any doubts or concerns you can contact an attorney licensed in your state to provide you with legal help in this matter.
Please post your responses and follow-up messages to me on this in the comments section below.Big Hug!