Statute of Limitations on Credit Card Debt

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Have you ever got any calls from debt collectors or creditors about your old debt? No matter how hard you try to forget it, debt is debt. Normally, it has to be paid until everything is paid off. You might think that it has been a long time, but the collectors and creditors would still have the ability to sue you within the statute of limitations on credit card debt. What is this credit card limitations actually? To learn more about it, let’s discuss this in this opportunity. Here we go then.

What the Statute of Limitations Really Is

Statute of limitations on credit card debt is the amount of time for the creditors to use the court to make you pay the debt. That being said, the laws concerning this statute differ depending on all sorts of factors, like the state and the type of the account you have. The time periods are the most obvious difference of all. Your statute of limitations on credit card debt might last for mere 3 years, but it can stretch to 6 years long in others. So, you need to make sure how long it is on your cards.

Speaking about this, make sure you are knowledgeable enough about when the statute does start. This is often quite confusing and the creditors might argue about it too. Let us tell you here clearly that the clock actually starts on the last date of your account activity. Be it your last payment or agreement, the statute of limitations on credit card debt begins from there. Knowing the time period and start of statute of limitations could save you too when you are being sued pass the time limit.

What Happens After Passing the Time

If there is something like time limit for the creditors to sue you, you must have been wondering what will happen to your debt after the statute of limitations on credit card debt expires. As it was said before, debt is indeed a debt. Just because the time limit has passed, it does not mean that it erases your debt. The statute of limitations on credit card debt has nothing to do with it. The only things that can erase the debt are to cancel it or discharge it with bankruptcy. So, pay more attention here.

Also, normally the creditors are not supposed to force you to pay the debt through the court when the statue for the credit card with the debt has expired. However, there are some of them that will sue you anyway, hoping that you don’t have any clue that you are no longer to be legally forced to pay the debt. You can defend yourself in the court instead by showing the proof of the time period from the statute of limitations on credit card debt of yours. Give this a try when they harass you more than enough with calls and letters.