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Statutes of limitations vary from state to state. If you need to know the statute of limitations for your state, contact your state’s Attorney General’s office by phone or on the Internet. Some states apply the law of the foreign state to credit cards; some apply the law of the state of the resident; while others apply what ever the credit card agreement states. If you are speaking in terms of a credit report then the Statute of Limitations has nothing to do with the length of time something can stay on your credit report, they are two TOTALLY separate things. Again, there is absolutely NO relationship. The length of time a negative mark can stay on your credit report starts from the time you were late or the late payment went into collection, not from the last time you made a payment on the account. Some collection agencies update their reporting status on you to keep the account active with the bureaus to extend the time the account appears on your report. Very crafty and underhanded of them, because most often the account is updated and the period of time the account is active appears to be extended. Challenge this! If you do, bureaus will correctly remove it 7 years from origination. Period. In other words, paying a collection will not keep it on your credit report for a longer period of time if you are diligent.

Source(s)

www ... www.creditinfocenter.com/creditreports/cr_time.shtml

by Jada515

2 years ago

Asker's Rating: 

hmmm never heard of that

by miztiffany- 2 years ago

Let me explain a little bit about law and limitations statutes. If you have a debt and the credit card company takes legal action, the statute of limitations is TOLLED at the precise time the credit card company takes legal action. What that means is that as long as the cc company takes action before that time, the debt does not expire. You can rest assured that the legal department of any major credit card company will not let the statute of limitations lapse. It is 4 years in California, I believe.

by Eagleflyer- 2 years ago

It does not apply in your case as far as I know unless a new statute has been passed that I am not aware of. The statute of limitations is generally reserved for when someone accuses you of a crime or you are suspected of a crime and the crime laws are not exercised against you over a certain period of time defined under Statute Law. In regards to credit card debt and other debt, what could apply to you in your situation could be Bankruptcy (either personal or business like in Chapter 11 or 13 I believe).

by theglobalmachine- 2 years ago

There are two different SOL's on credit cards. One is the reporting SOL - it starts to run the first time you became 30 days late and never brought the account current leading to the charge off. This SOL "cannot" be re-aged. The other is the collecting SOL. This one depends on your state statutes. It either starts the first time you became 30 days late and never brought the account current leading to the charge off. OR It starts on the last time you made a charge or a payment to the account before the account was charged off. In "some" states making a payment or making an agreement to pay (usually signed agreement) can re-set the collecting SOL. If you want to know the collecting SOL (and statutes) for your state and if it starts on the first late or last action, click on the following link and scroll to the bottom of the page. Click on your state. Generally if your state is a last action state it will be noted. If in your state, the collecting SOL can be re-set, it will also noted on there along with the statutes. whychat ... credit cards are always Open Accounts

by echo- 2 years ago

Sigh. Lots of answers..but not what you asked.. The clock starts when the credit card provider reports your account as default..missed a payment...and no more payments were given. hence..default...you did not honour your agreement...the account is in trouble. As has been said..SOL only covers legal action..it does not cover how long it will be on your credit report nor collection activity. Collection activity can go on for years *after* the 7 years runs on your report. What's more...JDB (Junk Debt Buyers) can illegally try and restart the clock..actually report the item as a new debt..when it is not. This is why it is so important to pull all three of your credit reports at least twice a year...yes...even if you have to pay. There are many ways to get a additional report for free, though. Nevertheless...it's your job to alert the bureaus when (if) this happens. JDB's often break every single rule as they did in my case in the Fair Debt Collection Reporting Act. It's up to you to learn your rights..know when they are violated..and take action. In some states..even agreeing to a payment arrangement..even on a out of statute debt..can restart the SOL clock. Don't do it. I got one of those fix your credit credit cards by paying a worthless debt offers just four days ago. File 13 it.

by Bryon H- 2 years ago