Legal Question in Credit and Debt Law in Georgia

credit card

I had credit card I agree to pay off the amount that they said. I wrote on the check pay in full per agreement and they cashed the check. But they went bankrupt after that now a other company is trying to credit more money on the account. But can they cent the other company cash the check with it saying paid it full per agreement.

Asked on 6/29/04, 9:00 am

1 Answer from Attorneys

Glen Ashman Ashman Law Office also dba Glen Ashman Attorney

Re: credit card

Yes they probably can collect. You should have seen a lawyer before doing a workout.

Your credit card agreement will likely state that marking a check payment in full does NOT bind the credit card company. Only a written document from them does that.

Even then it would have been a bad idea. A part payment accepted as payment in full on an undisputed debt would have meant that you would have had to pay income taxes on the difference.

Next time - get your agreements in writing and see a lawyer before considering negotiating with creditors.

You might, depending on your circumstances, want to look into bankruptcy.

Before giving up however, send the collector a written dispute saying you paid in full on a mutual agreement. Attach a copy of the check (with the account number blacked out). It probably won't work, but maybe you will get lucky. Do this within 30 days of their contact.

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Answered on 6/29/04, 9:14 am

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