Legal Question in Credit and Debt Law in Nevada

Collection Agency Adding Interest

Can a collection agency continue to add interest to the debt they bought? My original debt was $10k when they coll.agency bought it. Now its $22k after 3 years of no contact with me. I contacted them and made two attempts to settle without success. Now they sold it to another agency and they are pursing me for the $22k. Can they add that much interest to my original debt? How should I go about settling this debt? Obviously I don't want to pay more than double my original debt. I want to settle it, but cannot afford to pay that much. Does the law on this change from state to state? I was living in Wis. when the credit card debt was incurred, but now live in NV.


Asked on 9/03/07, 12:28 pm

1 Answer from Attorneys
Jeffrey Cogan Jeffrey A. Cogan, Esq., Ltd.

Re: Collection Agency Adding Interest

They are allowed to add interest but if the amount has doubled, they may have waited too long to sue you and you may have a statute of limitations defense.

If you would like to meet with me to discuss, please email.

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Answered on 9/03/07, 1:39 pm


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