dmarjorie
Dec 21, 2006, 02:40 PM
I want to pay off an credit card debt. Which started at 300.00 and now is 900.00 due to my none payment and accuring interest. It has been charged off . How do I go about paying this debt but also wanting to reopen this credit card. Is this possible?
AtlantaTaxExpert
Dec 21, 2006, 07:19 PM
Yes, it IS possible. Call the credit card company IMMEDIATELY to make arrangements for payment.
The reason you should act quickly is the company will issue you a Form 1099-C to show the charge off. You will then be taxed on the chargeoff amount listed on the 1099-C. Once that form is issued, it is hard to get cancelled.