I have been trying to repair my credit and it has been paying off. I have one issue that I can't seem to find any information on. I have an account that was opened in May of 2001 and charged off in January of 2006 in the amount of $3,820. A collection agency bought it and reported it as of March 2006 but now says the amount is $9,077. My question is two parts: 1) can they both report it?, and 2) can the collection agency charge that much in intrest and penalties? Both agencies reporting have a balance on the respective accounts. From what I have read, it seems that the original creditor should report it as a $0 balance? Any help would be greatly appreciated.
