A Charge-Off is merely an accounting procedure used by the Credit Card Company to state that they do not believe that you are going to pay your debt. Just because your account has been charged off by the credit card company does not mean that you do not owe the debt, although that is a common misconception.
A charge off typically occurs after several months of non-payment by an account holder. Each credit card company has different lengths of time at which they charge off a debt, but most range from 3 to 6 months of non-payment.
It is at this point that the Credit Card company will begin collection proceedings against you, either by having their in-house collection department contact you, or by selling/outsourcing your account to a collection agency.
Contact our office at 412-823-8003 or toll free at 1-888-536-6644 for a free telephone consultation if you are being sued by a Collection Agency in Pennsylvania.
In PA, what is the length of time a Charge Off amount will appear on your credit report if you have “settled” the original balance owed?
That is a federal question, pursuant to FCRA adverse credit is 7.5 years past the date of delinquency (usually earlier than the charge off date). 10 years for judgments.