Written off or discharged accounts

[hodafez]

What does this mean? Some of my accounts on my credit report show that they have been written off or discharged. I want to calculate exactly what I owe to see how I can get out of debt. Thanks.

[SinkingFast]

Have you received any 1099-C's from any Creditors??

That's the IRS form you'd get on debt that the Creditors wrote off and/or discharged and forgave you of having to pay. Those monies from that debt became tax liable income to you in the tax years it was written off.

I'm not talking about debt discharged thru a BK filing. Debt the Creditors just gave up on ever seeing payment for and wrote off their books. That's tax liable income to you.

That makes a difference in what you'll owe to who.

[FoolAndHisMoney]

Have you received any 1099-C's from any Creditors??

That's the IRS form you'd get on debt that the Creditors wrote off and/or discharged and forgave you of having to pay. Those monies from that debt became tax liable income to you in the tax years it was written off.

I'm not talking about debt discharged thru a BK filing. Debt the Creditors just gave up on ever seeing payment for and wrote off their books. That's tax liable income to you.

That makes a difference in what you'll owe to who.

I think they only send 1099 c forms if you AGREE to settle the debt and pay a smaller amount then owed. The unpaid amount (depending upon your net worth as no_it_all pointed out) would then be written off and you may pay taxes on this as income.

If a creditor charges off the debt it just means they now consider it a "bad debt" and write it off for tax purposes. The debt is still live and well and they usually sell it to C A's for pennies on the dollar.

hodafez, does it state "discharged" or "charged off". I don't think they ever say discharged. It would usually say "Included in bk".

[SinkingFast]

FAHM,...........

All this stuff gets very confusing.

I can sure understand why Hodafez trying to figure out the total debt.

It get's charged off, but technically you still owe it. So even tho you see a balance of $0 on that acct, there can still be a $10K marker, so to speak, floating around out there somewhere with your name on it. Like some big monster waiting to rear its ugly head. You don't know where or when, but you know it's there.

[hodafez]

Thanks for all your help. I'm still trying to figure things out but I'm going to look at my credit report a little closer. I'm probably better off seeing a professional person to see how I should start tackling all of this. THanks again...

[coolbreaker]

is that a sign of identity theft victimization?