charge off

USAGE SUMMARY

The phrase "charge off" is correct and usable in written English.
It is typically used in financial contexts to refer to the process of declaring a debt as uncollectible and removing it from the balance sheet. Example: "After several attempts to collect the overdue payment, the company decided to charge off the account as a loss."

✓ Grammatically correct

News & Media

Wiki

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

20 human-written examples

Then they charge off, as one, for the Hudson.

The New Yorker

Mr. Frey argues that the banks should charge off those seconds.

The New York Times

"The first thing we did was to take the door charge off," she said.

The New York Times - Arts

When the starting gun fires, they charge off, sprinting like the light brigade in fast forward.

The Guardian - Lifestyle

Buckingham Palace has allowed the lawyers to charge off to seek justice.

The Guardian

JPMorgan Chase expects to charge off 10.5 percent of its credit card portfolios in the first half of 2010.

The New York Times

Human-verified similar examples from authoritative sources

Similar Expressions

39 human-written examples

The charge-off rate was 6.36percentt in July.

The New York Times

A year ago, we might have appraised this property and taken a charge-off".

The New York Times

S.& P. had projected that the charge-off rate would climb to 8.4percentt.

The New York Times

It was the 20th consecutive year-over-year increase in the charge-off rate.

The New York Times

The so-called charge-off rate is still lower than before the 2005 law went into effect.

The New York Times

Expert writing Tips

Best practice

When discussing financial statements or accounting procedures, use "charge off" to clearly indicate the formal action of removing a debt or asset from the books as uncollectible.

Common error

Avoid using "charge" alone when you specifically mean to indicate that a debt is being written off as uncollectible. "Charge" simply means to apply a cost, while "charge off" has a specific accounting implication.

Linguistic Context

The phrase "charge off" primarily functions as a phrasal verb. It describes the action of removing a debt or expense from a company's financial records, signifying that it is considered uncollectible or irrecoverable. Ludwig AI confirms this through numerous examples of its usage in financial contexts.

Expression frequency: Common

Frequent in

News & Media

40%

Formal & Business

30%

Wiki

20%

Less common in

Science

5%

Academia

3%

Encyclopedias

2%

Ludwig's WRAP-UP

In summary, the phrase "charge off" is a phrasal verb used in accounting and finance to denote the formal removal of a debt or asset from a company's books, recognizing it as uncollectible. Ludwig AI confirms that this phrase is considered grammatically correct. It is commonly found in professional and news contexts. Although its register is primarily professional, its use in news and general articles makes it accessible to a wider audience. Related terms include "write off", but "charge off" is more specific to accounting practices. When using this phrase, ensure you are referring to the formal accounting action, not simply a general cost or expense.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

write off

Similar meaning; often used interchangeably in financial contexts to denote removing an asset from the books.

declare uncollectible

Emphasizes the assessment that the debt cannot be recovered.

deduct as a loss

Focuses on the accounting treatment of the expense as a reduction of profits.

cancel the debt

Implies forgiving a debt, making it no longer owed.

eliminate the balance

Focuses on the action of reducing or erasing the balance of an account.

remove from assets

Highlights the removal of an item from the list of owned assets.

clear the account

Suggests removing all outstanding debts or obligations from the account.

forgive the debt

Focuses on the creditor's action of releasing the debtor from their obligation.

book as an expense

Highlights accounting practice for handling items that will reduce profits.

expense

Refers to recording something as an expense.

FAQs

What does it mean to "charge off" a debt?

To "charge off" a debt means that a creditor has determined that the debt is unlikely to be collected and removes it from their assets. This is an accounting procedure and doesn't necessarily mean the debtor is no longer responsible for the debt.

What is the difference between "write off" and "charge off"?

The phrases "write off" and "charge off" are often used interchangeably, particularly in a financial context. They both refer to removing an asset (like a debt) from a company's balance sheet because it's considered uncollectible. However, "charge off" is slightly more specific to accounting practices.

How does a "charge off" affect my credit score?

A "charge off" typically has a negative impact on your credit score. It indicates to other lenders that you failed to repay a debt, which can make it more difficult to obtain credit in the future.

What happens after a debt is "charged off"?

Even after a debt is "charged off", the creditor may still attempt to collect the debt, or they may sell it to a collection agency. The fact that it's been charged off simply means it's no longer considered an asset on the creditor's books.