Accepted Answer

A debt will stay with you, until it is settled. Debt is normally sold because the primary holder of the debt, believes that they will not be able to recover the amount owed on the debt. They go and sell the debt to a second party, for less then the debt is worth. This way, they receive something, instead of nothing. The next party who has the debt attempts to collect it for less then what is fully owed, in hopes of making a profit on the recovery. If they cant, they sell it to another party for less and less. Someone hopes to eventually recover something. The person who has the debt, also has to file a civil lawsuit against you, if they wish to recover through the courts. Normally, it has to be within 5 years of the breach. If to much time passes, the right to recover is lost and the only hopes to see any money is through a settlement. If you are getting calls and letters about an old debt, try and see how much they want. You can negotiate these debts, often paying less then half of what is owed. Upon paying, you need to tell the company you want them to report to the 3 major credit bureau's, that the debt has been paid, so your credit score will not be effected.

Expert:	JA Expert
Pos. Feedback:	98.1 %
Accepts:
Answered:	8/5/2008

Attorney

Experience in misdemeanor and felony cases. General legal.