Is credit card debt considered an open account or a written contract?
September 27th, 2008 | by admin |
Stephen S asked:
Debt in the late 80s or written contracts does anyone know for certain which type applies for written contract in the statute of default so depending on whether credit card that defaulted on it has been more than years.
JAIME
Debt in the late 80s or written contracts does anyone know for certain which type applies for written contract in the statute of default so depending on whether credit card that defaulted on it has been more than years.
JAIME
3 Responses to “Is credit card debt considered an open account or a written contract?”
By Angelic Julie on Sep 30, 2008 | Reply
it’s a written contract, that’s why you sign a rather lengthy terms conditions declaration when you take out the credit card – read the small print
By spifiman1 on Sep 30, 2008 | Reply
Sorry man, but it’s a written contract.
Remember that long piece of paper you signed that said terms and conditions?
By Studly on Oct 2, 2008 | Reply
Spiff! Man you are starting to disappoint me something terrible!
The definition of a written contact is one where all of the payment issues are completely spelled out. The monthly payments, the timeframe, everything.
An open or revolving credit line does not fall into this catagory because the terms of the agreement change every month. One month you owe $200, and the next you owe $400…..and each month you have a varying amount of payment. You can pay it off, and then run it right back up again….that’s why they call it a ‘revolving line of credit.
This is also clearly spelled out in the US UCC codes, and many states specifically label credit card debts as open accounts.
Georgia is one state that specifically labels credit cards as NOT being a written contract. Please refer to the link below.
Once again….poor answers with no source of information cause a lot of damage here on Yahoo. If they don’t provide you with a source for further examination it’s best not to believe it.