2 years ago my mother in law had a $8k charge off with GECRB. GE issued a 1099-C and she claimed that on her taxes. NOW, Asset Acceptance has called her WORK, who forced her to talk to them (her boss did) and claimed it didn't matter than the OC issued a 1099-C on it, she still owed the debt, and talked her into setting up 1k a month payments to them! She already gave them her checking account info and its supposed to come out next week. Is it true that the 1099-C doesn't matter? Is there anything I can do short of closing the account she gave them? My husband is furious that she did this, and I don't know what to do! Its been one week since she got the notice in the mail.
Quick help PLEASE
Started by
bama
, Jul 24 2012 04:58 PM
3 replies to this topic
#1
Posted 24 July 2012 - 04:58 PM
#2
Posted 24 July 2012 - 05:35 PM
It doesn't sound right to me...I say this because the only time I received a 1099-c was when I actually paid the debt. The amount of charge off was what I received on my 1099-c. Could she call and talk to the OC?
#3
Posted 24 November 2012 - 11:59 PM
2 years ago my mother in law had a $8k charge off with GECRB. GE issued a 1099-C and she claimed that on her taxes. NOW, Asset Acceptance has called her WORK, who forced her to talk to them (her boss did) and claimed it didn't matter than the OC issued a 1099-C on it, she still owed the debt, and talked her into setting up 1k a month payments to them! She already gave them her checking account info and its supposed to come out next week. Is it true that the 1099-C doesn't matter? Is there anything I can do short of closing the account she gave them? My husband is furious that she did this, and I don't know what to do! Its been one week since she got the notice in the mail.
Bama - I realize that you posted this question several months ago but I am dealing with a couple of 1099s form Portfolio Recovery and I just wanted to throw my two cents in...
There seems to be some indication that CA/JDB can continue to collect after a 1099-C is issued BUT, if they do, it may mean that your M-I-L didn't realize any income and no additional taxes are owed. Since the "income" was already reported on her taxes, she needs to find our if she is still within the time where she can amend/correct her return. If she is, then it's possible that she can get a refund for any taxes paid. It likely won't off-set any payments made but at least she won't be paying the balance AND taxes to Uncle Sam!
Obviously this is not your run of the mill issue and is more complicated than most do-it-yourself tax preparers can handle so she may want to contact a pro.
#4
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Posted 26 November 2012 - 06:56 AM
2 years ago my mother in law had a $8k charge off with GECRB. GE issued a 1099-C and she claimed that on her taxes. NOW, Asset Acceptance has called her WORK, who forced her to talk to them (her boss did) and claimed it didn't matter than the OC issued a 1099-C on it, she still owed the debt, and talked her into setting up 1k a month payments to them! She already gave them her checking account info and its supposed to come out next week. Is it true that the 1099-C doesn't matter? Is there anything I can do short of closing the account she gave them? My husband is furious that she did this, and I don't know what to do! Its been one week since she got the notice in the mail.
generally an 1099c account isn't sold off - first I've heard of it.
Asset acceptance called here work and told the Boss what this was about? who forced here to take the call?
Big time FDCPA violation
She should make no payments to a JDB who hasn't proved that they own the debt.
she needs to stop payment, revoke the deal and close the Checking account .
what state is your mom in?
http://scholar.googl...l=en&as_sdt=2,3
have her dig out the 1099c from her tax records - nhow much of the debt was discharged, and she needs sto send a DV to asset acceptance
but not the Std FDCPA DV- she needs one tailored to her situation and one that deals with JDB's .
I'll help wiwth that when I get home from work.
off to the races.
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