How long will my credit accounts continue to revolve after delinquent?

Question

I havent been able to make any of my credit card payments for the last 4 months and they are still coming in with late fees. Will they ever quit adding late fees? Does this debt ever erase if i dont pay it? Im only 17 and my credit is very important to me during this part of my life, getting an apartment, student loans, another car....etc....

Answer 1

Eventually it will either be assigned to a collection agency or sold to them.

If it is in your original contract that a collection agency can include fees and interest AND if your state allows it, then they can continue to add them.

As far as the debt erasing, as long as it is unpaid, they can still try to collect. Every state has a collection statute of limitations (SOL) that if the debt passes that mark, they cannot sue you for the debt, but they can still try to collect. They can and may sue you before that date.

As far as the reporting SOL, it starts the first time you became 30 days late and never brought the account current leading to the charge off. It will be reported for 7 years from that date.

If you get sued, then you can expect a judgment on your public records section on your reports - which is another 7 years from the date the judgment was filed.

Your credit already has a black eye and is in further, worse, jeopardy, I would suggest you follow the other poster who recommended you speak with your parents and see if you can get this paid.

Answer 2

The late charges should continue to accrue until the credit card company charges off the debt and it goes into collection. Then you will get a summons.

It is too late now to think about good credit; yours is in the dumpster. This will affect everything you do and will have a negative effect when you try to get any student loans, car loans, anything. Any credit you do manage to get will now carry a very high interest rate, close to 30%, and things will stay that way for a very long time. Late payments stay on your credit report for 7 years; if your soon-to-be collection accounts win a judgment against you they will show up in public records as an unpaid debt for 7 years after it is satisfied.

You can forget about getting any decent credit for a very long time to come.

Answer 3

Boy your credit has already began getting screwed that began as soon as you quit making the payments 4 months ago Your best action at this moment is to call the credit card companies tell them you wish to cancel the cards right now Make arrangements to pay the debt if not the debt will keep growng you will end up in court and they can garnish your paychecks tax refunds until debt is paid in full and that will even look worse on your credit

Answer 4

You better go to mom and dad and discuss the issue! It may already be too late!!! Either way, you WILL HAVE to pay the debt especially with the revamping of bankruptcy laws!
Tell me, how did a 17 year old get a credit card? I was under the presumption that is ILLEGAL in the US! An attorney may be a good place to start!
As for the time being, YOUR GOOSE IS COOKED as far as getting any credit in the near future! Of course, unless you go to the "dirt bag" community lenders for 400% intrest! Do yourself a favor and don't do the later one!!!!!!!!

Answer 5

no, they will never stop adding fees...EVER. that's how they make money. what will happen is that if you fail to miss another payment and do not contact them to make some sort of arrangement, your overdue or past due balance will be sent to a collection agency for the FULL amount due. by that time you're credit will be screwed. the only way you can get around this is by completly avoiding them for a LONG time. eventually they'll give up and simply write it off, damaging your credit even further.