What's Statute of Limitations on Debts?

[clig_fred]

I was searching on the Internet on Debt Consolidation and found something about Statute of Limitations on Debts.

Does this mean if I have a credit card debt that is associated with an account that has 10 years of inactivity, then I am automatically debt free!!!!

Does this mean I will never be responsible to pay?

Here is the site: http://www.creditinfocenter.com/debt/settle_debts.shtml

Strange site!!

Thank your for your feedback on what you think this all means!!.

[EdytaHome]

I belive that the time is 7 years, depending on the state. Do not call or contact the creditors you have not spoken or done buisness with in 10 years.
Order your credit report with all 3 reporting agencies, dispute debts with them that are over 7 years old. This is the only way they'll be erased from your credit record.

[HHM]

All the statute of limitations means is that they can't legally sue you for the debt. But there are numerous exceptions and in's & out's. Like was mentioned above, don't contact or respond to any contact from creditors with accounts that you haven't used OR PAID ANYTHING ON in over 10 years (the actual statute of limitations varies from state to state, its typically 6+ years).

There generally is not special SOL on debts, the SOL that is used is the SOL for Contracts generally.

[clig_fred]

But is it possible to

"... don't contact or respond to any contact from creditors with accounts that you haven't used OR PAID ANYTHING ON in over 10 years.."

But this is VERY easy. I wonder why SOL is generally for contracts and not unsecured debts! Isn't it very easy to avoid contacting creditors for 10 years?

Thanks

[HHM]

"... don't contact or respond to any contact from creditors with accounts that you haven't used OR PAID ANYTHING ON in over 10 years.."

But this is VERY easy. I wonder why SOL is generally for contracts and not unsecured debts! Isn't it very easy to avoid contacting creditors for 10 years?

Thanks

Not really, its rare that an account with a balance goes uncollected for 6+ years. Remember, they will contact you, and somewhere down the collection cycle, a lawsuit is likely, especially if you have a job or other asset. It really depends on how traceable the person is. And unfortunately, most persons don't know the in's and out's of the statute of limitations and will inadvertently renew the counting.

What I mean by the SOL for debts is under contracts is that if you go to your state's statutes, it will likely not say "Statute of Limitations for Unsecured Debt is....", it will say something along the lines of, "for all other agreements not specifically mentioned elsewhere, the Statute of limitations is..." and unsecured debt usually falls under your state's catch-all "Statute" of limitations.

[clig_fred]

"What I mean by the SOL for debts is under contracts is that if you go to your state's statutes, it will likely not say "Statute of Limitations for Unsecured Debt is....", it will say something along the lines of, "for all other agreements not specifically mentioned elsewhere, the Statute of limitations is..." and unsecured debt usually falls under your state's catch-all "Statute" of limitations."

I think for this reason alone, it is critical to have a lawyer. It's just a very complicated issue.