@Anonymous wrote:
@myjourney wrote:
@crrredit wrote:
A bank can take payment for a charge off. All the CO means is they moved it off their list of assets because the likelihood of it being collected is too small. But it's still a debt that is owed. If they sell the debt after the charge off, then they can't collect, but whomever they sold it to can. They can also "forgive" the debt and send you a tax form that means you have to report that amount as income. After that I don't think the bank can take payment on that debt.
In some cases you're correct but if they took a write-off----tax exemption then they can not collect and correct on the tax form but OP just paid w/o any of this info which s bad
The tax issue is not relevent. The company simply returns an account written off as back to active on their receivable aging. It offsets and creates a negative expense. When they pay taxes in the current year it becomes income. If you are willing to pay an old debt off, they can certainly collect.
That makes sense explained as a negative expense and becomes income ....WTG
Creative bookkeeping
Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?
