My boyfriend has 4 charged off act's totalling about 40k. They are going to be removed from his credit report in 2012. We do not have the cash to pay them. We already own a home under my name and both have vehicles, so there is no need for him to have good credit in a rush. I read that a paid charge off looks just as bad as an unpaid one and stays on your credit report for the same amount of time. If we leave these to go unpaid, will they just disappear after seven years? Can the creditors put an attachment on our checking account or take money out of his paycheck?
It will go off your report in 7 years in less they sue and get a judgement the debt never goe's away and if anyone say's it doe's it is still there,so you have to watch,they can sue you and get a judgement which would mean they could take money from your check.
You might not be able to avoid wage gaenishments, but you can avoid being robbed of your money in the bank account, by closing the account. If your employer(s) autmomatically deposit your bank get them to issue you paper checks, cash them, and pay your bills with money orders.
I agree. Until there is actually a lawsuit, no need to panic and start closing accounts. Besides, many employers will no longer issue a paper check--you are required to have direct deposit. You need to find out the statute of limitations for your state. If you are sued after the SOL expires, you can go to court and raise that as a defense (but you must go to court). Monitor your local courts to find out if and when a suit is entered against you. Time enough to panic then. If you do want to settle them, make settlement offers of less than the amount they say you owed.
