If your debt is discharged, do you still owe it?

I recently read an online forum which said that a creditor charges off a debt once it’s turned over to collections. What’s more, I gathered that a person does not have to repay this debt and can write “cancelled” on any invoices received from a collection agency instead of paying the bill. Is this information correct?

Unfortunately, the Internet is often a source of misinformation.  If you opt to write “cancelled” on a invoice for a debt you legitimately owe, you may find yourself being sued.  If you’re already dealing with the fallout from past debts, getting sued will only further complicate your situation.

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Establishing or Rebuilding Credit Scores: Options for Moving Forward

Your credit scores are prepared by FICO and other companies and are mainly based on your history of managing debts, such as whether you tend to make payments on time. Your scores play a significant role in your everyday life because the next time you apply for a loan or a credit card — or perhaps a new apartment or insurance —your scores could affect the final decision, including your costs.

Read more…Establishing or Rebuilding Credit Scores: Options for Moving Forward

3 Things to Know About Debt and The Statute of Limitations

The statute of limitations is a law that protects consumers when they are contacted by a collection agency about an old debt.

The statute varies from state to state. But once a debt passes beyond the number of years in your state’s statute of limitations, a debt collector no longer has the right to sue you for payment.

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Don’t Fall for This Chip Credit Card Scam

The credit card industry is undergoing a massive change as it switches to chip-based cards, and scammers are taking advantage.

Banks have been sending out new credit and debit cards that have an embedded microchip to meet an October 1 liability change deadline. But not everyone has received a new card yet: A September survey showed almost 60% of card users haven’t received a chip-enabled card.

Read more…Don’t Fall for This Chip Credit Card Scam