A loan is considered “charged-off” after a borrower misses 5 consecutive monthly payments. At that point, the loan is considered unlikely to be repaid.
If your loan is charged-off:
- Your full loan balance will be due immediately—including all unpaid fees, interest, and principal. In other words, you’re not just required to make overdue payments, you’ll be expected to pay your loan in full.
- A charged-off loan will appear on your credit report.
- No additional interest or fees will accrue on the past due balance.
Please contact us if your loan is charged-off.