debt gaining interest after it was sent to collection agency?
Hi I am Wendy from New York and I am newbie here. I have a situation here. I have a debt with a bank that now went into default and is now with the collection agency. They told me it is continuously gaining interest. Is this possible? All replies would be appreciated.
Maybe I have signed a
Maybe I have signed a contract stating that even though the money is in the collection's hand it will legally gain interest.
Yes I know that but since the
Yes I know that but since the money is now in the collector's hand, it is still gaining interest.
The only way that a debt can
The only way that a debt can continue to accrue interest once in collections is if you had an agreement in place where it was stipulated that interest was allowed. If you did not sign anything that allowed the original creditor to collect interest, then you need to start asking questions about that interest. They cannot simply start charging you interest unless either there was an agreement in place already that allowed it or unless a specific law in your state allows them to.
You have a debt with a bank..
You have a debt with a bank...banks do not lend money without charging interest.
okay I will consider this one
okay I will consider this one. I think I have to review some agreement I signed on if this one is included. Thanks!