Need to know Statute of limitations on old credit card debt

Hi Sherry

Welcome to the forums. Are you served summons on court papers or on the letterhead of the company trying to recover the debt from you. Before you are served legal papers, you are required to appear in the court.

It seems from your post that the company is using fake methods by putting it legally and recovers the debt from you.

Since the debt is charged off and is past the SOL period, you do not need to get worried about it as legal actions can't be put against you.

Inform the company that the said debt is past the SOL period and you are aware of the fdcpa laws. You will be making payments to the debt only after it has been validated and at your convenience. Send them a cease and desist letter to stop all communication with you. If they still continue, you might have to take legal actions against them as it will be a violation of the FDCPA law.

Since your credit report is already tarnished, the collection agency will not be able to tarnish it more. So, there is nothing to worry about it. However, paying off the debt will be improving your credit ratings. Make sure that you pay towards your debt account only.

Regards
Roxette

What state do you use to determine the SOL? I live in California but the credit card company appears to operate/be based in Delaware or Pensylvania. Which state would apply and what is the SOL for that state?

Hi bitty

Welcome to the forums.

SOL is determined on that state where your account last became delinquent. You need to check it with the date of last activity that took place in your account in that state.

If the account last became delinquent in California, SOL on written contracts is 4 years and 2 years in oral contracts.

Regards
Roxette

Thank you.

Would this be considered a written contract since I signed the application for the card or would it be a verbal contract if I had agreed to pay a certain amount per month and defaulted on that agreement?

Thanks for your help.

Were you served any agreement contract before making the deal? Since you have signed in the contract with your creditors, it will be considered as a written contract.

Regards
Roxette

No, I verbally agreed to send a certain amount per month. They then sent me a short agreement letter, requesting me to sign and provide my banking information, which I never did. The only written paperwork is the original application applying for the card.

Thanks again. I wish I would have found this site a few months ago as I too was a victim of Ellis Crosby and Assoc.

Bitty

Since you have agreed to pay the amount on a verbal note, the SOL will be calculated as per the date of last activity in your account in terms of verbal contract.

Great, thank you so much Roxette. =)

what can i do

Linda, can you please elaborate the situation a little more?

my credit cards debt has passed the SOL in CA, but they were sold or transfered to collections agencies with new opened dates. Which date applies? Once a debt has been sold can the collection agency sue me for payment?

The statute of limitation in California for credit card debts is 2 years from the date of last activity in the account. The statutes are not renewed by the transfer of collection agencies.

Keep in mind that a promissory note or a payment towards the account will renew the SOL from the beginning. You will be brought back under legal actions if the statutes are renewed. Before this time, the collection agency can attempt to collect the debt from you but they can not take any actions against you. Place a dispute with them in writing about the expiry of the SOL. Your letters should be sent through certified mail with return receipt requested. Keep everything documented so that you are able to produce it in the court if required.

can a collection attorney sue for a collection agency? Do they purchase debt themselves for profit?

When a debt has been purchased, can I find out how much it was bought for from the collection agency?

Shirley, these are some of the internal facts that no collection agency will like to discuss with the people outside their company. This is a fact that CAs do this business in order to make some profit from the consumers.

An attorney can definitely sue a collection agency if they have violated the laws.

What is the sol in va and in pa! Thank you

In Virginia, a debt goes out of the SOL period after 3 years in case of open accounts 5 years in case of written contracts.

In Pennsylvania, the SOL limitation is applicable for 4 years.

If your debt is past the SOL period, make sure that you do not make a payment towards the account. Doing this, the date of activity will change to the latest and it will come back within the legal SOL period. Also, you should not sign a promissory note unless you really are interested in paying the debt and improve your credit.