I have a signature loan that is past due since July. When will it actually charge off? It is small finance company. I have had medical issues, etc. I am really behind on everything. I live in Texas.
Probably in Jan or Feb of next year. What difference does it make? You'll still owe it after it's been charged off. "Charge off" is an accounting function that just indicates that the business considers your account to be a lost cause and that it probably won't see anymore income from it. It doesn't mean you no longer owe the money.
I would think after 180 days it was charged off. I am not saying i do not owe. i am asking when it would charge off. what happens when it charges off, does it go to a collection company. The loan amount is around 500.00 dollars or less.
It can go to a collection agency even before it's charged off. As ccbob said, the fact that it's charged off will make no difference to you. Some companies never sell accounts, but may assign them for collections. Some will sell them. Some will wait until they're charged off, some won't. If it's a small company (and privately owned), they may never charge it off. As bob said, chargeoff is purely an accounting treatment. Small companies may not do chargeoffs, they may carry the receivable on their books forever,
