How long must a company wait before writing off a bill?

Question

I received a call from a company saying they had written my bill off after being 60 days late (it turns out I had moved, notified them, but they never changed their records). I thought (by law) credit cards and other revolving credit had to wait 180 days before writing off a bill?

When replying please provide a reputable internet source that I can use to back up your answer as I am writing to the company to complain.

Thanks, and happy thanksgiving =)

Answer 1

They can write off a debt after unsuccessful "reasonable collection efforts" are exhausted - usually 90 days. I don't recall any laws stating any time period but only reasonable efforts to collect.

Look in the agreement, it may have the proof you are looking for. Some creditors have their own criteria for this and document it in the agreement.

Have you tried to negotiate it with them? That is pretty cold to do that especially when you have proof you actually moved.

Good luck

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Answer 2

They can write off the bill after your payment terms expired. For example, if a hospital only gave you 30 days to pay and you did not pay or contact them within the 30 day period, they can write it off. You might be able to contact them, explain the situation, and set up a payment plan. If they agree, then they should also agree to marking your bill as 60 days late instead of charge off. It will still have a negative effect on your score, but not nearly as bad as a charge-off does.

Happy Thanksgiving to you as well.

Answer 3

if that they have been giving bonuses or present enjoying cards, then telling the staff some days earlier DOES stink. i could only assume that the corporate isn't giving out something! my own company is on a pay freeze - my 2nd 300 and sixty 5 days with the corporate and no develop. So - i'm looking around. As for bonuses? yet another poster stated that the CEO's and Lord/woman extreme muckety-mucks are in all probability getting THEIRS. look out for your self in that branch and only have a extreme-high quality exchange which includes your co-workers. all of us exchanged enjoying cards (known and e-enjoying cards), cookies, etc. That made it exciting. grab the exciting and exhilaration the place you may, hon, and a secure, happy, and healthful trip to us all!

Answer 4

Speaking as a nationally known credit score and lending expert (book, radio shows, newpaper column, etc)....


It is entirely up to the company.

If they report that to the credit bureaus, you will have a worse negative item than mere late payments. They may turn the account over to a collection company who will certainly report a collection on at least one bureau report.