Chase bank 1099's

[DYLAN150]

Received two 1099-c's from Chase today. (cancellation of debt) It's kinda of funny since I am only 11 or 12 payments behind. One account was more than 12K and the 1099 states less than 6K. The other account is right on.

[jacko]

I stopped paying on two chase cards over three years ago. Where is my 1099 form? I feel left out. The combined balance with all the fees and interest should total to nearly 30k.

Received two 1099-c's from Chase today. (cancellation of debt) It's kinda of funny since I am only 11 or 12 payments behind. One account was more than 12K and the 1099 states less than 6K. The other account is right on.

[treehugger1]

The 1099 C's from Chase make sense. I think Chase decided to put a stop/hold on much of their litigation. Maybe it costs them less to cancel the debt than it does to play the collection games.

The 1099 C that is far less than the account balance is probably only the principle. The interest is not included in the 1099 unless they also fill in the box stating how much of the forgiven debt is interest.

My Cap1 1099 was for $6K, but the balance showing on my credit reports and the balance I kept getting on the newly initiated monthly bills is over $12,000 with interest, fees, and other charges. It does not matter in the end. The debt has been cancelled.

Are you insolvent?

[keepsmiling]

There seems to be a sudden deluge of these. I don't recall seeing so many last year.

[treehugger1]

I think the big banks and financial houses are cleaning up the larger debts they have been keeping on record after charge-off. Maybe their models are changing slightly. For one, arbitration is no longer a done deal for these folks. AAA and JAMS cost a lot of money. The only other options are to sue in your jurisdiction, sell the debt, or just cancel it. I would love to see a few more 1099's sent to me in the next few days! LOL

[keepsmiling]

How does this show on one's credit report?
If I didn't have my 401K I'd love to get some of these.

[treehugger1]

Good question about credit report. I assume that they still report the original derogatory account but with a $0 balance. In some sick, perverted way your credit rating probably improves. ha, h

[DYLAN150]

Tree, am I insolvent? Yes:

[GoingDown]

Good question about credit report. I assume that they still report the original derogatory account but with a $0 balance. In some sick, perverted way your credit rating probably improves. ha, h

I received a 1099-C from the original creditor, HSBC, several years ago.

On my credit report, the balance remained the same as before the 1099-C was issued.

But, they stopped updating it after that.

So, the balance showing on my credit report is now stagnant. They no longer add any interest to it.

I could probably get it removed from my credit reports by simply disputing it with the CRA's, because HSBC probably wouldn't "verify" it for the CRA's at this point, so they would have to remove it, but I don't care. It will fall off my credit reports soon anyways since the 7 years is almost up on it.