Creditors Interchange?

Hi Rozo,

Well, I haven't heard much about Creditors Interchange. Nevertheless, though your debt has been charged off to them, I will suggest you to ask them to validate the debt so that you are sure that they actually own your debt account. If they successfully and properly validate the debt, then you can think of setting up a payment plan to pay them off.

Take care.

Creditors Interchange is a collection agency. You can get detailed info on them from this url:

"https://www.creditorsinterchange.com/"

You should contact the CA and settle the debt asap. Once the debt has been settled, ask them to update the account status as "Paid Charge-off".

Just because the debt has been charged off and assigned to Creditors Interchange does not mean that they own it. Bank of America often assigns their charged off accounts to Creditors Interchange, without selling them to the collection agency.

You'll know who owns the debt by looking at the name of the creditor on the letter you received from CI, as well as reading the first paragraph. I strongly suspect this account is still owned by Bank of America.

If you have the money to settle, this would be the best course of action with Creditors Interchange. CI collectors are pretty reasonable, and if you run into a problem they have a great (and cooperative) compliance department. We've used this department to our advantage on an occasion or two.

Best of luck to you!

Can you clarify the status of "charged-off to......" ?

A charge-off is an internal bookeeping measure taken by a credtitor with delinquent debt once it reaches a point where it is considered "uncollectible." In some cases, doing a charge-off is mandated by regulations, and in other cases, it is discretionary on the part of the creditor. Banks, for example, have statutory charge-off requriements at 180-days. The intent of charge-offs, from the external perspective, is to ensure that assets of a credtior are not overstated/inflated to potential investors. Taking a charge-off then permits the creditor to reduce their tax obligations by transfer of the debt from a receivable asset to a non-receivable liability.

I dont understand the terminology "charged off to.....(another party)."
Perhaps what is meant is that the debt has thereafter been offered for sale or sold to another party? Is this a service that permits creditors to offer bad debt?

I'm only assuming that it was charged off, cause I received what looked like a dunning letter from them. It says at the top "your account with our client FIA Card Services". Does this mean that BofA still owns it? Everything else, address and all says Creditors Interchange and their address.

Hi Rozo,

Yes, it appears that your account is still owned by Bank of America. If you're in a position to settle the account, now may be a very good time.

Good luck!