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Collections Law/Statute of limitations on debt collections

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Expert: Creditwrench - 5/4/2008


Question
Hi you answered the following question:

questioneer asked:
"I had a vehicle reposessed in January of 1998 after a serious financial collapse left me homeless for the better part of that year (8 months) and bouncing around from address to address for a short period thereafter.  The finance company enlisted a collections agency who called me today - ten years and three months after the fact - giving me the option to accept a settlement for $2200.00 or be held liable for $7300.00.  I have a steady, but somewhat low-paying job which is made worthwhile mostly for the benefits so either option is a significant issue to have to work around if i pay it.  My questions are:  A) did they have the right to call me at my place of work?; and B) after ten years, do they still have the right to pursue the issue?"

Your Answer:
"They have the right to pursue the issue without limitation and they can file a lawsuit and if you don't respond to the court in writing and present a SOL defense they can get a judgment most of the time."

Isnt there a statute of limitations and isn't a 10 year old debt well past this statute?

Thanks

Mark

Yes, they have the right to call you at your place of work unless you notify them in writing that it is inconvenient for you to receive calls at work.  

Answer
Yes, there is a statute of limitations and a 10 year old debt would be well past the statute in most if not all states.

Yes, they can try to collect even if it is well past the statute of limitations. They can also sue you and if you fail to respond they may very well get a judgment.

Is all of that legal? Not under federal law it isn't.  

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Creditwrench

Expertise

Debt Collections law, Fair Debt Collection Practices Act (FDCPA), Fair Credit Reporting Act (FCRA), federal law, how to properly answer court summons for collection cases, how to prepare federal cases against debt collectors, how to deal with debt collection phone calls.

Experience

I've been an active consumer advocate for more than 40 years and have helped hundreds of people win cases against debt collectors as well as helping them defeat demands for summary judgment lodged against them by banks, debt collectors and defeat mortgage foreclosures and keep their homes.

Education/Credentials
Paralegal courses for the most part.
I have been teaching people how to deal with judgments, mortgage foreclosures and other such problems both on and off the internet for many, many years. I am a Richard Cornforth information provider ever since 2000 and worked with many other organizations and causes since 1980. I was Oklahoma State Chairman for the nationwide drive to defeat the Constitutional Convention which was proposed by various factions within our federal government such as the Council of State Governments and the National Organization of State Governors who were working hard to organize a Constitutional Convention to be held in 1995 for the purpose of rewriting our American Constitution to be more acceptable to the United Nations. I worked with Senator Charles Duke of Colorado and Senator Don Rogers of California and many others across the nation to keep them from getting the number of delegate states required to lawfully hold a Con-Con and we were successful. I have worked with many other legislative issues in Oklahoma and have always been very successful.

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