Collection Agency Calling on 10 year Old Debt Past the SOL in California and Kentucky
in 2001 i lived in California and had a small credit card. i was hurt on the job and unable to pay. Today 1/09/2012 i live in Kentucky and a collection agency just contacted me.
Do they have to go by California law since that's where the debt came from. or since i live in Kentucky, does that change the whole process?
I lived in California 2001 had small credit card hurt on job unable to pay 10 years later collector me in Kentucky what can I do?
—kelly
The debt collector is trying to get you to pay what is likely a “zombie debt“. Zombie debt refers to a debt that is outside the statute of limitations (SOL) where the debt owner can access the courts and sue you in order to collect, and the fact that after 10 years, the account should not be appearing on your credit report as a charge off or collection. The debt is essentially the walking dead.
There are instances where you can unknowingly reset the SOL on a debt by admitting to the debt or making a partial payment.
There are also instances where the tolling on the SOL is paused due to the move you mention you made. With the SOL of 4 years on open accounts (credit cards) in California, and 5 years Kentucky, I find it unlikely the SOL can be established as still an active concern, and I doubt you will be sued. If you were sued, I would encourage you to connect with a consumer law attorney and discuss the situation at that time. In fact, I want you to be aware of a few things that may lead to you contacting an attorney with debt collection violation experience.
Debt collectors should follow up phone calls with a collection letter.
This collection letter will give you the address you need for the agency in order to send them a cease communication letter. It does not have to be a fancy or long letter. Just be sure it states that you dispute the debt and you demand that the collector cease communicating with you in any way. This means this particular collector should not be attempting to contact you again. Be sure to send the letter certified mail return receipt in order to get the green card back that proves the collection firm received it. If collection attempts by the same collection agency continue after that, you should connect with an attorney with collection violation experience and discuss how he or she may be able to assist you. Many attorneys with experience in this area of law will not charge you a retainer or request any fees from you if they represent you in this situation. They work your case on contingency, where if they are to be paid, it will be by the other side.
If you continue to receive calls on this debt by this, or any other collector, I would encourage you to reach out to an attorney. I can help you locate one if you post the name of a large nearby city.
I encourage you to check your credit reports if you have not done so recently and be certain that this negative account has been removed after 7.5 years has elapsed since the date of last activity (last payment). Any collection agency reporting related to the account should no longer remain on your report either, but collection accounts do often reflect a more recent and therefore inaccurate date of last activity.
Sending debt collectors a cease communication letter if the SOL has not expired.
Anyone reading this who is not certain that the debt is outside the SOL for legitimate collection efforts using the courts, who sends the cease communication letter in an attempt to stop collection calls and letters, will be leaving the collector no alternative to communicate unless they want to proceed with collection by suing you. There may be better methods for resolving the debt you should consider instead.
Any reader with questions or concerns regarding debt collection and the statute of limitations can post them in a comment below for feedback.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
I had a private student loan debt that was in collections 5 years ago. I disputed it with all 3 credit bureaus and won it has since been completely removed from my credit report as if it never existed. Just recently I have received a letter from a collection agency regarding this loan. I live in Pennsylvania but I required this loan at a college in West Virginia. Not sure how to respond to this agency.
Hello , I was recently contacted regarding a 1300 dollar debt from 19 years ago They left a voicemail claiming the clerk needed to validate my address so they may have my signature. For legal action. To be honest I don’t remember the debt . I do t recall receiving any notices. I called them back and I asked how old was this debt . She explained it was from 1999. I said 19 years ? I don’t remember having this account 19 years ago. I then stated Isn’t that past the SOL ? She responded with something about a “towing” law that allows them to collect . I asked for her to send more documentation. I finally received a letter and it’s basically a collection letter . I am replying via a certified letter to validate the debt (letter I found of the web to dispute old debts ) . The letter I received did not include any additional information. Other than them trying to set up a payment plan. I checked my credit and have no collections listed . Have you heard of a “towing ” law ?
I received a call last September stating I owed USBank for overdraft fees for an account that was closed back in 2007. I closed the account then and never received any letters stating I owed them. I have lived in the same home since 2008. Never received anything in the mail. Today I received a call from another attorneys office stating I have a pending lawsuit and they were going to serve me with papers. He said the charge off date was from 2014. But the account was closed in 2007. Is it still legal.
It sounds like a debt collector scam to me Bradley.
I lived in Hawaii from 1999-2001 when I incurred the debt and defaulted (SOL 6 years) then moved to Texas from 2011-2004 and now I live in Florida. Received a phone call and they threatened legal action. Has the statutes of limitation passed in this situation?
Way passed the SOL to sue or credit report.
The threat of legal action, when none can legitimately be taken, may be a violation of your rights.
You may want to talk to an experienced debt collection consumer law attorney in your state about options you have that may be worth pursuing.
About 4 years ago I was sued by a debt collection agency. Due to the “lack of standing” the judge ordered that I was not responsible for the debt. Several months ago I began receiving letters from a different collection agency concerning the same account. I wrote a letter, sent a copy of the court documents as well as where they could find the original documents if necessary. They still won’t leave me alone. What other steps do I need to take so they realize they were sold a resolved account from another agency?
Who are the collection agencies or debt buyers involved?
I do not see too many judges dismiss a collection lawsuit where they clearly and unmistakably write in the order that you are not responsible for the debt.
I just saw the video, thanks how do I find out if my debt case previously went to court and a judgement was made? Also if I check my credit report and neither creditors are on my report,I send the new bill collecter a cease communication letter.Is this right? Because I’m stressing over this..
You could search the civil court records in any counties you lived in for this period of time. You can also call the collector and ask if there is an existing judgment, and if so, in what court, where you can then go look it up.
I typically recommend sending a cease communication letter on zombie debt. Here is a really good resource for identifying your rights and needs when dealing with debt collectors.
Hello again Mr Bovee, well I did as you suggested, I pulled my credit report from 2 sites Experian and Equifax, the 3rd was down for some reason we couldn’t login? But the printout say I currently have no collections in my file, currently no bankruptcies, no judgements and no liens. I do have a soft inquiry from Asset recovery associates on 1/26/17 that’s also the day they called and harassed me at work saying they were bringing the sheriff to my job to arrest me on Friday The 27th. They never showed up. What should I do? I’m sorry for bothering you but your the only person that has any knowledge that can help me. God bless.
If they are collecting on a judgment debt, it may be too old (7 years) to appear on your credit reports, but still valid. I would look up your name in the county court house and see if you can find where you were sued for collection. You could also request debt validation from Asset Recovery Associates.
I’m from California.I received a collection letter, from ARR collection in Villa park Illinois stating I owed another credit company a $20,000 + debt ,and this company purchased the debt? The last time I made a payment on the original debt from the original creditor was in 2003,I went to prison in 2004,I was released in 2007, and this year is 2017
Was there ever a judgment entered in court for the debt?
I never even went to prison for that,I was in a car accident and killed a man (vehicular manslaughter), that’s why I failed to make my credit card, payments.this is the first time I’ve personally received a letter addressed to me.14yrs later.should I write them a cease communication letter.,I haven’t contacted them yet.
I understand that. I want to know if there was ever a judgment on the debt because that is likely the only way the debt has legs. If there was no judgment to date, this is likely zombie debt (watch that video). And in that case, I would send a cease communication letter certified mail if it were me.
But if this was already a judgment, it can be renewed, and sometimes over and over, and will still have to be dealt with.
How many people get sucked into the wanting to make good on their part debts but in the end, only end up hurting themselves more or again?
Fewer than you would think. Late stage debt collection has an extremely low margin of success.
I just got a call from a collection agency for a debt that was from 2009. I am currently trying to get my credit in order to purchase a home. I know this debt was still on my report but i also dealt with a lot of past debt from my past amd wasnt sure if this was really one i had already took care of. I told the lady that i fealt this had already been addressed and that i wanted a break down of the debt in writing but In an attempt to make good on my credit report figured I should attempt to settle the debt. I agreed to a payment not to come out until 2/10/17 so I could try to find my info showing it was settled. I looked through my stuff and it wasn’t settled but this debt is scheduled to come off my report in April 2017. I immediately called cancelled my payment and told them I did not authorize anything regarding this account. Did I just reset the time of this account being on my credit report? I’m freaking out thinking I just screwed myself by trying to do good by my past debtS. Please help.
Who is the collection agency and creditor you are dealing with?
My best friend of 50+ years tells me that a collection agency contacted his wife about a $3,000.00 debt from 1999. My friend is not sure if the debt was his his wife’s or both. There had been no action or contact for over 10 years. My friend received a certified letter demanding a the payment of $10,000.00 for the original loan cost and interest. The letter stated that the collection agency would start a garnishment against the wife’s wages and report the debt to the credit bureaus. The wife contacted the collecting agency to dispute the debt. After numerous threating letters and telephone calls my friend gave in and started making monthly payments of $200.00. What’s very upsetting to me is that they are paying $200.00 per month on a demand of $10,000.00. From what I have read it’s my understanding that the SOL has been reset since a payment was made. What’s confusing to me is that if the SOL has run its course. In New York the SOL is 6 years. One would think that if the SOL ended after 6 years collection agency’s cannot come after you. It appears that this is not the case. Did my friend re-set the SOL by making a payment 18 years later? It would make sense that the SOL clock would re-set if an agreement or payment was made during the 6 year SOL period but not 18 years later. Since a total of 3 payments have been made can the collection agency notify the credit bureaus about this debt? If my friend were to stop paying because she cannot afford the $10,000 can the collection agency file a court action? If payments are stopped can the collection agency have negative information placed with the credit reporting agencies? My dear friends have no idea that I am writing about this. My dear friend of 50+ years is totally disabled because of cancer. His wife only works part time earning just $200 per week. It’s very difficult paying a $10k debt $200 per month on a salary of $200 per week and a monthly Social Security check. Any advice is greatly appreciated and I thank you in advance.
George C.
If it were me I would file a debt collection complaint with the CFPB. They were tricked and deceived into paying, so not sure the reset of the SOL would stick.
I received additional information from my friend today. It was not a collection agency that sent a letter to my friend. The letter was from a marshal in New York. It was a NOTICE OF GARNISHMENT. The notice stated that a judgment has been entered against the above named debtor. It read as follows: Judgment Creditor, Capital One Bank, AAO Citibank vs Donna Doe. (It listed my friends true last name) Judgment Debtor ( I put Donna Doe.) The notice is dated December 5, 2016. The notice also stated, IN ADDITION, INTEREST FROM 12/05/16 will be calcite don a daily Dasia’s. You will be notified of the final balance due when your payments approach completion.
JUDGMENT……………………………………………… $4,312.17
STATUTORY MARSHAL FEES………………..$0.00
POUNDAGE…………………………………………………$453.65
EXPENSES…………………………………………………………$7.30
INTEREST……………………………………………………$4,753.57
TOTAL………………………………………………………….$9,526.69
The notice states that all payments should be marked with your name and this docket number: G12311 and payable to Marshal Stephen W. Biegel.
I could be wrong but I don’t believe the docket number is really a court docket number. The number G12311 appears to be a short number for a court docket number. I believe docketbnumbers usually contain date.
Any advice as to what my dear friend and his wife can do at this point? I mentioned before that 2 payments in the amount of $200.00!each have been made.
Thank you and advance for your knowledge and advice.
George C.
Connect your friends with an experienced debt collection defense attorney in New York. I can email you several dozen with the experience you need if you like?
Thank you for the advice. Please email the names of debt collection attorneys.
I wrote you just a few minutes ago about my friend of 50+ years. I forgot to state that the debt is in New York.
I have read many comments on your website where you had given good advice to many people now I’m hoping you can give me some good advice
I have a very dear friend of 50+years. My fried had taken out a loan for $3,000.00 back in 1999 18 years ago. A few months ago a collection agency contacted my friend demanding payment of $10,000.00 for the original loan interest and other cost. I only learned of this today. My first reaction was to tell my friend that I believe that may be a statue of limitation on collecting a debt that old. I explained that I had heard years ago that so long as no payment was made the they may not be able to collect. My friend said that due to repeated calls and letters and threats of having his wages garnished he decided start paying $200 per month. My fried has excellent credit and was afraid that the credit bureaus would be notified and his credit would be ruined. Am I correct that the SOL clock has started again since three $200.00 payments were made? Most important, can the collection agency notify the three credit bureau’s on a debt that is 18 years old? A better question would be can the collection agency now notify the credit bureau’s on this 18 year old debt since payments were recently made? Can the collection agency bring a court action since payments were made 18 years later? Any idea as to what would happen if my friend stoped paying at this time?
Thank you in advance for any help you may provide.
Talk things over with an experienced debt collection defense attorney in your state. A debt this old was likely passed the SOL to sue and for credit reporting. Nothing can legitimately restart the credit reporting, but payments can reset the SOL in many states. But my concern is that your friend could be dealing with a scam debt collector.
Thank you for your response I too thought it might be a scam collection agency.
Hi,
I had a voluntary vehicle repossession in March 2008 from citibank. Yesterday I received a local call from a law firm about de $17k debt. They wanted to set up payments and I declined, then the asked for my mailing address and said they’ll submit my file as refusal to pay. Can they come after me almost 9 years later? (I live in Arizona).
Check out this video about how debt collectors use pressure words and phrases to get you to pay. Refusal to pay is one of my favorites and I cover it in the video.
Just to be sure, were you sued on this debt in the past?
No, I was not sued, and a couple of years ago I hired Lexington Law Firm to clean up my credit from old accounts and such, and this account was not showing in my credit report. Last year I only had 4 collections and they were all under $200.
The SOL in Arizona is 6 years from when you stopped paying. If they file in the court your defense is will be simple (and you do have to respond to the suit).