Question by  kimsjustin (19)

What does it mean if a credit card turns into "bad debt" on your credit report?

I wasn't able to pay it.


Answer by  CLEV (405)

It means essentially that the credit card could not get you to pay it so it was written off as worthless debt that can't be retrieved.


Answer by  rlb3 (86)

The term 'bad debt' is usually applied to a debt when the payments have not been maintained. This can be due to the payments not being met, by either missing payments or paying less than the agreed amount. Alternatively, it can be caused by missing the payment dates, so the money arrives late in a creditor's account.


Answer by  busymom12 (6)

A Charge-off is a negative entry on a credit report. A person is responsible to pay a debt that has been charged off. The more time that passes the greater your chances are to negotiate a deal with the creditor. The way to remove a charge-off from a credit report is to negotiate a deal or pay off the debt.


Answer by  dja1034 (26)

An individual's inability, or unwillingness, to fulfill a credit obligation can hinder that person from obtaining a good job, a decent home, and additional credit. Employers and financial institutions often review applicants' credit reports to gauge their financial sensibilities and moral character.

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