Statute of Limitations on Debt Collection by State: A Complete Reference
The statute of limitations determines how long a creditor has to file a lawsuit to collect a debt. Once expired, creditors lose the legal right to sue, though the debt itself doesn't disappear. Understanding these time limits is crucial for both creditors deciding whether to pursue collection and debtors determining their legal exposure.
This comprehensive guide explains statutes of limitations across all 50 states.
Understanding Statutes of Limitations
What It Means
The statute of limitations is:
Time limit for filing lawsuit
Measured in years
Varies by debt type and state
Defense against lawsuit, not automatic dismissal
Does not eliminate the debt itself
Why It Exists
Statutes of limitations serve to:
Encourage prompt resolution
Protect against stale claims
Recognize evidence deteriorates over time
Balance creditor rights with debtor protections
Provide finality
Key Principle
After expiration:
Debt remains valid
Creditor can still ask for payment
Cannot successfully sue in court
Debtor has complete defense if raised
Time-barred debt notation on credit reports
Types of Debt
Written Contracts
Signed agreements including:
Loans with signed promissory notes
Credit agreements
Purchase contracts
Service contracts with written terms
Oral Contracts
Verbal agreements:
Handshake deals
Spoken promises to pay
Agreements without written documentation
Open Accounts
Revolving credit including:
Business credit accounts
Trade credit (Net 30, Net 60 terms)
Credit cards
Line of credit accounts
Promissory Notes
Specific written promise to pay:
Formal loan documents
Notes signed with specific terms
Often longer limitation periods
When the Clock Starts
Accrual Date
Statute typically begins on:
Date of last payment
Date of last charge (revolving accounts)
Due date for payment (if no payment ever made)
Date of breach (contract disputes)
Date account written off
Common Misconception
Clock does NOT restart when:
Debt sold to collection agency
Collector contacts you
You receive demand letter
Account reported to credit bureau
Actions That MAY Reset Clock
Making a payment
Written acknowledgment of debt
New written agreement
Partial payment in some states
Settlement agreement
**Varies by State:** Some states allow reset, others don't.
State-by-State Reference
Key:
WC = Written Contract
OC = Oral Contract
OA = Open Account (trade credit)
PN = Promissory Note
Alabama
WC: 6 years
OC: 6 years
OA: 3 years
PN: 6 years
Alaska
WC: 3 years
OC: 3 years
OA: 3 years
PN: 3 years
Arizona
WC: 6 years
OC: 3 years
OA: 3 years
PN: 6 years
Arkansas
WC: 5 years
OC: 3 years
OA: 3 years
PN: 5 years
California
WC: 4 years
OC: 2 years
OA: 4 years
PN: 4 years
Colorado
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Connecticut
WC: 6 years
OC: 3 years
OA: 6 years
PN: 6 years
Delaware
WC: 3 years
OC: 3 years
OA: 3 years
PN: 3 years
Florida
WC: 5 years
OC: 4 years
OA: 4 years
PN: 5 years
Georgia
WC: 6 years
OC: 4 years
OA: 4 years
PN: 6 years
Hawaii
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Idaho
WC: 5 years
OC: 4 years
OA: 4 years
PN: 5 years
Illinois
WC: 10 years
OC: 5 years
OA: 5 years
PN: 10 years
Indiana
WC: 6 years
OC: 6 years
OA: 6 years
PN: 10 years
Iowa
WC: 10 years
OC: 5 years
OA: 5 years
PN: 10 years
Kansas
WC: 5 years
OC: 3 years
OA: 3 years
PN: 5 years
Kentucky
WC: 15 years
OC: 5 years
OA: 5 years
PN: 15 years
Louisiana
WC: 10 years
OC: 10 years
OA: 3 years
PN: 10 years
Maine
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Maryland
WC: 3 years
OC: 3 years
OA: 3 years
PN: 6 years
Massachusetts
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Michigan
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Minnesota
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Mississippi
WC: 3 years
OC: 3 years
OA: 3 years
PN: 3 years
Missouri
WC: 10 years
OC: 5 years
OA: 5 years
PN: 10 years
Montana
WC: 8 years
OC: 5 years
OA: 5 years
PN: 8 years
Nebraska
WC: 5 years
OC: 4 years
OA: 4 years
PN: 5 years
Nevada
WC: 6 years
OC: 4 years
OA: 4 years
PN: 6 years
New Hampshire
WC: 3 years
OC: 3 years
OA: 3 years
PN: 6 years
New Jersey
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
New Mexico
WC: 6 years
OC: 4 years
OA: 4 years
PN: 6 years
New York
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
North Carolina
WC: 3 years
OC: 3 years
OA: 3 years
PN: 5 years
North Dakota
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Ohio
WC: 8 years (was 15, changed 2012)
OC: 6 years
OA: 6 years
PN: 8 years
Oklahoma
WC: 5 years
OC: 3 years
OA: 3 years
PN: 5 years
Oregon
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Pennsylvania
WC: 4 years
OC: 4 years
OA: 4 years
PN: 4 years
Rhode Island
WC: 10 years
OC: 10 years
OA: 10 years
PN: 10 years
South Carolina
WC: 3 years
OC: 3 years
OA: 3 years
PN: 3 years
South Dakota
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Tennessee
WC: 6 years
OC: 6 years
OA: 6 years
PN: 6 years
Texas
WC: 4 years
OC: 4 years
OA: 4 years
PN: 4 years
Utah
WC: 6 years
OC: 4 years
OA: 4 years
PN: 6 years
Vermont
WC: 6 years
OC: 6 years
OA: 6 years
PN: 5 years
Virginia
WC: 5 years
OC: 3 years
OA: 3 years
PN: 6 years
Washington
WC: 6 years
OC: 3 years
OA: 3 years
PN: 6 years
West Virginia
WC: 10 years
OC: 5 years
OA: 5 years
PN: 6 years
Wisconsin
WC: 6 years
OC: 6 years
OA: 6 years
PN: 10 years
Wyoming
WC: 10 years
OC: 8 years
OA: 8 years
PN: 10 years
Determining Which State Law Applies
General Rule
Apply statute of limitations from:
State where contract was formed, OR
State where debtor resides, OR
State specified in contract's choice-of-law provision
Choice-of-Law Clauses
Many contracts specify:
"This agreement shall be governed by the laws of [State]"
This typically controls which state's statute of limitations applies.
Multi-State Issues
If debtor moves to different state:
Some courts apply original state's statute
Others apply current residence state
Complex area requiring legal analysis
Tolling and Suspension
When Clock Stops
Statute may be "tolled" (paused) when:
Debtor moves out of state
Debtor files bankruptcy
Debtor is in military service (SCRA protection)
Fraud concealment
Debtor is minor or incapacitated
Resumes When
Debtor returns to state
Bankruptcy concludes
Military service ends
Fraud discovered
Disability removed
Revival of Expired Debts
Acknowledging Time-Barred Debt
In some states, statute restarts if debtor:
Makes any payment
Makes written promise to pay
Signs new agreement
Acknowledges debt in writing
States Vary Widely
Some allow revival by payment
Others require new written agreement
Some don't allow revival at all
Creditor Tactics
Collectors may try to:
Get you to make small payment
Trick you into acknowledging debt
Send partial payment check to cash
**Protection:** Know your rights before engaging with collector on old debt.
Common Mistakes
For Creditors
Filing lawsuit after statute expired
Miscalculating start date
Applying wrong state's law
Missing payments that reset clock
Not documenting payment history
For Debtors
Not raising statute of limitations as defense
Making payment on expired debt
Acknowledging old debt in writing
Assuming collector will know debt is time-barred
Statute of Limitations vs. Credit Reporting
Different Time Periods
**Sue:** Statute of limitations (varies 2-15 years)
**Report:** FCRA limit (7 years from delinquency)
Both Can Expire
Debt can be sued on but not reported (rare)
Debt can be reported but not sued on (common after SOL expires)
Notation Required
Credit reports must note debt is time-barred if:
Collector reports it, AND
Statute of limitations has expired
Practical Implications
For Creditors
Act Quickly:
Don't wait until near expiration
File suit with time to serve debtor
Document everything
Research applicable state law
Before Buying Debt:
Calculate remaining time
Discount price for older debt
Consider collection likelihood
For Debtors
Know Your Defense:
Statute of limitations must be raised
Not automatic dismissal
Calculate expiration carefully
Don't revive accidentally
Validate First:
Collectors must verify debt
Check statute before negotiating
Consider time-barred status in settlement
Judgments: A New Clock
Post-Judgment
Once judgment obtained:
New statute of limitations begins
Typically 10-20 years
Renewable before expiration
Much longer than original debt statute
Strategic Importance
Creditors should:
Obtain judgment before SOL expires
Renew judgments before they expire
Judgment creates new, longer enforcement period
Special Circumstances
Business vs. Consumer Debt
Same statutes typically apply
Some states have special commercial provisions
Written contracts more common in business (longer periods)
Secured vs. Unsecured
Statute applies to right to sue
Secured creditors may foreclose without suit
Repossession rights separate from lawsuit rights
Statute on Judgment
Different from original debt statute
Usually 10-20 years
Renewable in most states
International Considerations
Foreign Creditors
Must use U.S. state statutes for U.S. debtors
May need to domesticate foreign judgments
Different rules apply
U.S. Creditors/Foreign Debtors
Foreign country's limitations periods apply
Often different framework entirely
Legal advice essential
Recent Changes
**Ohio** - Changed from 15 to 8 years (2012)
**North Carolina** - Significant case law developments
**Many States** - Increased consumer protections around time-barred debt collection
**Ongoing:** Several states considering reforms
Legal Strategy
For Creditors
1. Determine applicable statute immediately
2. Calendar expiration date
3. File suit with adequate time margin
4. Don't delay hoping for voluntary payment
5. Consider judgment even if uncollectible now
For Debtors
1. Determine if debt is time-barred
2. Request validation from collectors
3. Raise statute of limitations as defense if sued
4. Don't make payment without legal advice
5. Get written agreements before paying old debt
Alexander Strauss & Associates
We Handle Complex Statute Issues
Our expertise includes:
Multi-state statute analysis
Choice-of-law determinations
Tolling and revival questions
Pre-suit statute verification
Judgment before expiration
We Act Promptly
When you engage us:
Immediate statute review
Calendar critical dates
File suit before expiration if needed
Obtain judgments for long-term enforcement
25+ Years Experience
We understand:
State-specific nuances
Recent case law developments
Revival and tolling rules
Interstate enforcement issues
Free Consultation
We'll review:
Your debt age and type
Applicable statute
Whether action is timely
Best collection strategy
Conclusion
Statutes of limitations are critical for:
1. **Creditors** - Act before time expires
2. **Debtors** - Understand your defenses
3. **Both** - Document everything
4. **Everyone** - Seek professional advice on close cases
**Key Takeaway:** Time limits vary dramatically by state and debt type. Don't assume—verify the applicable statute and act accordingly.
**Questions about statute of limitations on your debt?** Contact Alexander Strauss & Associates at (469) 531-0092 or visit our [contact page](/contact) for professional guidance.