What to do about a charge-off?

Get Legal Help Today

 Secured with SHA-256 Encryption

What to do about a charge-off?

Plaintiff’s claim dismissed (non-suit without prejudice) against me. Am I responsible for paying off remaining balance or can I wait until statute of limitation expires for removal from credit report? This account is not in debt collection.

Asked on September 9, 2011 under Bankruptcy Law, Texas

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

If there was a lawsuit against you where the plaintiff's claims against you were dismissed without prejudice, the plaintiff can file a new action against you so long as there is no bar under all applicable statutes of limitations.

If you contest the balance claimed to be owed you are not responsible for paying off the claimed balance. You can bide your time and see what the creditor plans on doing since the account is not in collection and let the statute of limitations continue to run.

One option is to reach an agreement in writing where you and the creditor agree that for payment of a certain amount by you that the claimed debt is paid in full.This might be a good tactic for you since the lawsuit against you was dismissed.

Good luck.


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.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption