How long can CC cos. continue to accrue interest?

[SobStory]

We stopped paying on credit cards 18 months ago. Most went about 6 months, charged off & you know how collections go. However, one card has merrily continued to accrue interest every month. For 18 months.
Can they do this? Isn't there a limit to how long they can go?

Not sure if this is the right section but any insight is appreciated.

[catleg]

As long as the contract is in effect you can be charged interest at the contract rate. The default rate is usually 29.99% for consumer credit cards. At that rate your balance increases at the following geometric progression:
Year Balance
0 100
1 131
2 176
3 237
4 319
5 429
6 577
Once you get sued and a judgment is issued, the court's post judgment rate of interest takes over, this is normally much, much lower.
This doesn't take into account nuisance fees which normally end after 6 months nor costs of suit and collection which get added to your tab also.
Over time BK looks better and better.

[HHM]

Yes, interest accrues indefinitely until the debt is paid, discharged in BK, or settled.

[SobStory]

Thanks for the reply.

[tay666]

Oh yeah.
It adds up.
One of my bills more than doubled in 3 years time.
Went from just over $20,000 to over $45,000 thanks to the wonders of compound interest and fees.

[Bell30656]

You know the real bad part? Each of us agreed to these interest rates when we accepted the line of credit. That mice type is pretty intense.