Every state sets a time limit for suing on a debt. After it passes, the debt is called time-barred. A collector may still ask you to pay, but there are special rules about what they can do.
How it works
The time limit, often three to six years but sometimes longer, depends on the type of debt and the state. It typically starts from the date of your last payment or default. A time-barred debt does not vanish, but a court should dismiss a lawsuit if you raise the time limit as a defense.
Traps to avoid
- In some states a partial payment or written acknowledgment can restart the clock.
- Not responding to a lawsuit can let a collector win by default even if the debt is time-barred, because the defense must be raised.
- Collectors may not sue or threaten to sue on a debt they know is time-barred under federal collection rules.
What to do if contacted
- Ask for written validation of the debt and the date of last payment.
- Do not admit the debt or make a payment until you know the dates.
- Check your state's time limit for that kind of debt.
- If you are sued, respond by the deadline and raise the time limit as a defense.
- Consider free help from legal aid or a consumer attorney.
Credit reports
The time limit for suing is separate from how long a debt can appear on your credit report. Many negative items can stay for about seven years.
Frequently asked questions
Does the debt disappear after the time limit?
No. You may still owe it morally, but collection options are limited.
Does bankruptcy reset anything?
No, but it can discharge many debts. See our bankruptcy guide.