Credit card, statu of limitations, how they work?

Question

if the credit card was closed more than four years ago and the creditor has not contact me, do i still have to pay it? I belive the statu of limitations to repay credit cards in TX is 4 years. What about if they sent me a settlement letter?

Answer 1

You are correct that Texas has a 4 year SOL.

I'm willing to bet by now, it has probaby been sold to a collection agency.

If you are past the SOL and they send you anything, you are not legally bound to pay.

If they do send anything, I would suggest first sending them a debt validation letter, send it certified mail return receipt. After you get the green card back, send a dispute to the credit bureaus if the collection agency has placed it on your reports

Then after you receive a response, or if no response in 35 days, send the collection agency a SOL letter, certified return receipt.

If you are still dealing with the original creditor, you can still do everything I've listed except for the debt validation letter. Original creditors are not required to validate a debt, but they are required to verify a debt, so you would send a debt verification letter.

You might go to the site I've listed and do some reading in the newbie forum and then in the credit forum.

It is a free site. You will find the info you need for the letters, your states statutes etc.

Answer 2

Credit Card Basics Understanding Five Main Credit Card Terms
By: Joseph Kenny

Answer 3

OK far as i know it is when your last pay met was made. Did you get this credit card in TX? if so you are in the clear. If you made any kind of payment the clock gets reset, i would pull your credit report up to verify it. Collection agency's are known to play games with this. the more than likely send you a settlement letter again, if is up to you to pay and Pay it all at once.this will help your credit score. This credit card will still be on your credit report for 3 more years. It will get bounced around to diff rent agency buying it for 5 cents on the dollar. they may even try to sue yet and you hold the golden key with the SOL defense.

Answer 4

Since it's been so long, they've probably written the debt off as a "charge off". It will still show on your credit report as unpaid debt.

However, if they've sent a letter within the last four years demanding payment, it would be best to pay it.

See an attorney or government consumer credit organization for complete info; nobody here is an expert, including me.

Answer 5

the only way to Reduce Credit Card Debt is by consolidating your bills into a monthly payment, this is called debt consolidation.
if someone wants to get out of debt today it is pretty easy with a debt consolidation plan
however it may get a bit tricky at times, I suggest you get as much information as possible online on this first,

a good place to start in my humble opinion is an online ebook :

you can read it for free at:

http://umgarticles.atspace.com/debt-consolidation.htm

Answer 6

I believe it's 3 years, unless they have a judgment
usually judgments are 10-20 years and can be renewed eternally by the creditor

Answer 7

hi Chris you are able to no longer borrow your way out of debt ..Write down all your debt each and every thing.. those so called consolidation businesses are dropping their non earnings prestige with the government.. i do no longer think of student loans could be a area of this anymore ,,yet take all your debt guidance to a lawyer and declare financial ruin..Get out your mess and forget approximately approximately it .. start up a clean and spend in basic terms the money you earn..

Answer 8

Listen to echo and ignore other commenters. The only thing I could add, is that if you truly cannot afford to pay then you can fight your debts. I did and won.

Answer 9

there is no statute of limitations on credit card debt........ you owe

Answer 10

See an attorney. You don't know who is talking to you here.