How Long Is The Statute Of Limitations On A Credit Card?

How Long Does A Creditor Have To Collect On A Debt

Each state has a law in place, called a statute of limitations, which limits the length of time a creditor has to sue a debtor for credit card debt. Once this time has lapsed, a creditor can no longer sue a debtor for credit card debt – but they can still request payment. Technically, a creditor can pursue a debtor indefinitely, as there is no statute of limitations on collection – only lawsuits.

How Long The Statute of Limitations Is On A Credit Card In Your State

For most states, how long the statute of limitations is on a credit card is between 3 and 10 years. Some provide more time for creditors to sue debtors on their credit card debt. In any case, it is definitely a good idea to learn how long the statute of limitations is on a credit card in your state and the state of your creditor.

Credit Law Cautions

You should be aware of how long the statute of limitations on a credit card in your state for one very good reason. Some states place the “burden of proof” on the consumer when it comes to credit card debt. In other words, if a creditor files suit against you for credit card debt, you must appear in court and prove that the debt is older than the statute of limitations allows – also called “time-barred.”

You should also know how long the statute of limitations is on a credit card in your creditor’s state. Reason being your contract may provide for the creditor to use the statute of limitations in their state instead of yours, even though federal credit law provides for the consumer’s state to take precedence.

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