I am confused about CO interest post
Date: Mon, 04/13/2009 - 12:26
Frogpatch said this in regards to collection agencies charging interest after charge-off.
"No they can't! That is a violation of the Fair Debt Collection Practices Act, Section 808-1. An attorney can collect legal fees and court costs but a collector can't add interest or any other fees."
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CA's can not add interest or any other fees AFTER Charge-off? Did I misunderstand?
"No they can't! That is a violation of the Fair Debt Collection Practices Act, Section 808-1. An attorney can collect legal fees and court costs but a collector can't add interest or any other fees."
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CA's can not add interest or any other fees AFTER Charge-off? Did I misunderstand?
It all depends on the original contract. If the contract or pro
It all depends on the original contract. If the contract or prom note allows it, they can be added.
It depends on the laws as well. For example in IL, a CA would h
It depends on the laws as well. For example in IL, a CA would have to be licensed as a Sales Finance Agency in order to charge any interest above and beyond the principal amount of the debt. If they aren't licensed to charge interest, then it would be unlawful for them to. Again this is IL.
