Posted on November 10, 2009 at 10:11 pm How much interest can a collection agency charge? Can anyone tell me? Cos the interest on one of my CCs jumped from 15% to 26.99% which is absolutely crazy!?!

Posted on November 11, 2009 at 12:05 am How much interest can a collection agency charge?That depends on the state that you currently reside in. There are different rates enforced on different states, and take note that there are different rates given to different consumers prior to getting a judgment, and after. Most states have a 6% interest charge, while in the state of Texas, bill collectors can charge as much as 18%.

Posted on November 11, 2009 at 1:39 am how much interest can a collection agency charge in Indiana??

Posted on November 11, 2009 at 1:58 am how much interest can a collection agency charge in Indiana??Eight percent. The same applies for Colorado, Connecticut, Kentucky, Mississipi, North Carolina, and South Carolina.

Posted on November 11, 2009 at 1:59 am You're asking how much interest can a collection agency charge------but is it even legal in the first place???

Posted on November 11, 2009 at 2:06 am Caffeinatrix: South Carolina charges at 8.75%.You're asking how much interest can a collection agency charge------but is it even legal in the first place?Yes, Raflesia, it is. It depends on consumer's agreement with the creditor. The information also has to be clearly indicated on the former's contract, or if it adheres to state law.This is also one of the stipulations of the FDCPA.

Posted on November 11, 2009 at 2:34 am Also an addendum to "how much interest can a collection agency charge"While there are state-specific rates set as per federal law, the rule doesn't apply if the contract or agreement with the creditor does specify a particular rate that the collection agency is permitted to charge, even if it is different from the federally-set percentage. The reason why your interest must have jumped from 15 to 26.99% is because of that fact.

Posted on November 11, 2009 at 2:54 am Thanks for the tidbit, Cheetos. There really are ways and means around your agreement with your creditor, which is why you really have to read the fine print carefully before signing anything.

Posted on November 11, 2009 at 3:02 am can y'all give us a list of all these interests pls?

Posted on March 10, 2010 at 9:46 am I have a hospital bill that went to collects because I couldn't afford to make the payments that the hospital wanted me to make, I could only afford $25. and they wanted $160/mo. Once it went to collections I was NEVER notified ANYWHERE on any of my paperwork from either the hospital or the CAI Collection Agency about this was to have interest. I called them 2 days ago to find out how much I have it down to, I've submitted them $100.00 and they told me (my original balance was $1,991.00) that my current balance owed was $1964.00. So in all reality, it is 8% a month and 96% APR. I don't see how this is legal to charge this much and to not have informed me of interest on this collection!? At this rate it will take me 7 years and an extra $6,000 in interest to pay these people off. CAI said they are NOT the ones charging the interest that the hospital has a contract stating they have to charge it to their collections, in fact CAI said Hancock is their only client that makes them charge interest, no other company or hospital does. Next time I'm in a car accident or have to go to the hospital and I cannot afford to pay my bills, leave me along side the road and let me die so I don't have to kill myself slowly paying Hancock Regional Hospital.