What is a charge off? It’s really just an accounting entry by a creditor. After a few months of nonpayment, a creditor will determine that they are unlikely to receive any further funds and will stop posting interest and penalties to the account. This does not absolve the consumer’s legal liability to pay the debt.
Read MoreBottom line, if you receive a call from a creditor that you forgot to list on your bankruptcy schedules and the debt was incurred prior to the date your case was filed, you will not be obligated to pay that debt if your case was a no asset Chapter 7. Inform the creditor of your filing, and you will be fine to carry on your new life with the peace of mind that filing for bankruptcy can give you.
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