Ghosts and vampires aren’t the only things to be afraid of this Halloween — there is also “zombie debt.”
Zombie debt is debt that’s already been paid off but continues to haunt your credit scores.
Debt that has been paid off is sometimes sold off to debt collectors, causing the error.
Senator Chuck Schumer is now pushing for a bill to prevent that from happening.
Schumer says “Once you’re in bankruptcy, everyone else has to be notified so if your debt is extinguished, it will never be brought up again and some real penalties will be paid for the deed.”
Zombie debt affects more than 2,400 people living in Upstate New York