Can a credit card company continue to charge interest after a judgement has been filed?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Can a credit card company continue to charge interest after a judgement has been filed?
I went to court a couple years ago and had a judgement placed against me for an unpaid credit card. At that time, they were granted the judgement for the original balance plus late fees and interest and it was around $25,000. I just received a letter from an attorney office stating my balance is now over $40,000. I thought that once the judgement was placed, they could no longer charge me interest and I was responsible for the original judgement amount. Am I wrong?
Asked on February 10, 2012 under Bankruptcy Law, North Carolina
Answers:
Jonathan Griffin / Griffin Law, PLLC
Answered 12 years ago | Contributor
The credit card company cannot charge you interest post judgment but the judgment will itself accrue interest at the legal rate (8% per annum in North Carolina).
You should negotiate to see if the credit card company will accept a smaller amount in full satisfaction. Often they will.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.