I remember hearing once that a debt after a certain amount of years, is moot. Does it depend on the state where the debt occurred or you current state of residence?
I heard that collection agencies that specialize in buying old debts, to try and collect on, HATE for people to know about these laws. Where does one look up information about this? And what exactly does one do to bring it to the attention of the collection people, that you are no longer obligated by law to pay on such an old debt?
2007-06-05 04:10:03 · 12 answers · asked by Anonymous in Business & Finance ➔ Credit
You are always repsonibile, there have even been cases where peoples social security checks were partially taken until their old student loans were repaid. of course this is extreme but possible.
2007-06-05 04:18:08 · answer #1 · answered by misty m 4 · 0⤊ 0⤋
Once a debt is older than the statute of limitations for debt in your state, a debt collector no longer has the right to sue you for payment. You may still have a moral obligation to pay back the debt, but you can't be sued over it.
In some states, making a partial payment to a debt collector or even acknowledging that you owe the money is enough to make an old debt new again.
If this happens, the five-year statute of limitations on your debt starts all over again. A debt collector has five more years in which to sue you for payment. And a non-payment on your new-again debt could be reported on your credit report. Then the advantage transfers to debt collectors.
2007-06-05 04:18:15 · answer #2 · answered by PJ 5 · 1⤊ 0⤋
Debt statute of limitations vary from state to state. It is usually 4 to 6 years. This just means that you cannot be sued for debt repayment after that time. The debt still exists and stays on you credit report for 7 years.
Be careful, if you send a partial payment during that time, the statute starts over again. Usually collectors look for a small payment, so the clocks starts for another 4 to 6 years
2007-06-05 04:26:52 · answer #3 · answered by Paul H 1 · 1⤊ 0⤋
There are two things to consider.
1. Even if you are not legally bound to pay it, collectors can still trash your credit as long as the debt is less than 7 years old.
2. Each state has a statute of limitations on how long a collector may take legal action (sue you) on a debt. There's a chart on bankrate.com that I've linked to below that provides the time limit for each state.
2007-06-05 04:36:55 · answer #4 · answered by Uncle Pennybags 7 · 0⤊ 0⤋
Legally it depends on your State. Go to NDRC.com and look up your State it will list the statute of limitations for debts.
After the S.O.L. expires you can not be taken to court for the debt. This doe's not mean that collection companies will not try and get you to pay, they just cant sue you if you don't.
2007-06-05 04:27:00 · answer #5 · answered by ? 7 · 1⤊ 0⤋
I will just tell you that i had a credit card company take me to court for an old credit card bill- from around 12 years ago- these companies buy the debt for pennies on the dollar- and if they collect the actual amount- it is theres to keep- I know this because this is what prompted me to file bankruptcy
2007-06-05 04:19:43 · answer #6 · answered by bridget m 1 · 0⤊ 0⤋
First, do no longer hardship putting something on the returned of the verify. that would not make it an settlement. you desire some thing in writing on the series employer letterhead that announces they are going to eliminate the article out of your credit rfile when you pay $x. the series employer is supplying you with the run around to get out of supplying you with a pay for delete settlement. despite in case you do get the written settlement, it is going to nevertheless be as much as the series employer to eliminate the article. in the event that they make sure to no longer, there is not any longer something you're able to do to tension the credit bureaus to eliminate the article. The credit bureaus' coverage is to no longer eliminate valid products out of your credit rfile and that they gained't eliminate the article based on the series employer settlement.
2016-11-26 00:48:41 · answer #7 · answered by ? 3 · 0⤊ 0⤋
It falls off of your credit reports after 7 years, but once you owe the debt the people you owe it to can continue to try to collect it as long as they want, or until it is paid.
http://www.ftc.gov/bcp/conline/pubs/credit/fdc.shtm
2007-06-05 04:26:02 · answer #8 · answered by Anonymous · 1⤊ 0⤋
after 7 years it no longer affects your credit report
2007-06-05 04:14:28 · answer #9 · answered by hazyjewels 1 · 1⤊ 1⤋
It varies form state to state. check this site out-
http://www.bankrate.com/brm/news/cc/20040116b2.asp#mt.asp
Find you state and it will tell you how long you are legally required
2007-06-05 07:10:02 · answer #10 · answered by Anonymous · 0⤊ 0⤋