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Statutes of Limitations For Bad Debt Collections

What is the statute of limitations for your bad debt?

Debt Collection and the Statute of Limitations Laws for Bad Debt

A debt collector is typically a company that has been hired to collects a debt for a particular company which issued you credit. The debt collection company gets paid when they get payment from you so it's important for them to contact you and attempt to get any money they can. Keep in mind debt collectors should abide by the Fair Debt Practices Act (FDCPA)

Attorneys who collect debts abide by the strict letter of the law and will normally place a garnishment on your wages or attempt to freeze your bank accounts (if they can find where you bank). Debt collectors can contact you in person, by mail, telephone, telegram, or fax. More often they will attempt to contact you by phone if you do not respond to a letter that may have been sent. When your account is placed on collection, debt collectors will do just about anything (hopefully within the law) to get money out of you.

Unless you agree or ask a debt collector to do so, a debt collector may not contact you at inconvenient times or places, such as before 8am or after 9pm. Debt collection companies may not contact you at work if the collector has been informed not to contact you there as it disrupts the business of the employer.

Depending on state laws and where you live, a debt collector may not contact you if, within 30 days after you receive the written notice, you send the collection agency a letter stating you don't owe the debt. But, a debt collector can renew their collection activities once they send you proof of the debt (example: a signed contract, credit card bill).

Debt Collector Rules

IMPORTANT: In order for a debt collector to sue you or attempt to claim money on a past debt the contractual agreement where you first attained the loan must fall within a certain time-line allowed by law. A statute of limitations is that time which is allotted by law of the state where the debt originated within which you can be held liable for the debt. Those debt collectors are also governed by the Fair Debt Practices Act (FDCPA) and might be violating your rights.

A qualified legal professional can help you navigate the often muddled path of debt recovery and bankruptcy and also put a stop to nagging debt collection phone calls.

Are Debt Collectors Harassing You?

Below is a listing of the states and their statute of limitations as they pertain to debt within that state. While this list is updated regularly, often-times laws in every state get modified, repealed, amended or changed by legislation. Please find a bankruptcy lawyer who is qualified to represent you in your debtor case no matter if it is bankruptcy, payment negotiations or even getting the debt removed altogether.

BAD DEBT STATUTE OF LIMITATIONS
STATE	STATUTE RULES
Alabama	Written Contract: 6 Years Sealed Instrument: 10 Years Open Accounts: 3 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: 75% of wages are exempt from garnishment Disclaimer: Alabama debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Alaska	Written Contract: 3 Years 10 Years on Sealed Instrument Sale of Goods: 4 Years Open Accounts: 5 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: 75% of employee's weekly net income or $402.50 whichever is more Disclaimer: Alaska debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Arizona	Written Contract: 6 Years Open Accounts: 3 Years Domestic Judgment: 5 Years (additional 5 upon request) Foreign Judgment: 4 Years Wage Garnishment: See Federal Law Disclaimer: Arizona debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Arkansas	Written Contract: 5 Years (partial payment stops the statute from running) Oral Agreement: 3 Years Sale of Goods: 4 Years Open Accounts: 3 Years Domestic Judgment: 10 Years - Renewable Foreign Judgment: 10 Years Wage Garnishment: $500 head of family; $200 single. Includes personal property except clothing Disclaimer: Arkansas debt collection laws can change over time, and you need to consult with an attorney before you use this information.
California	Written Contract: 4 Years Oral Agreement: 2 Years Open Accounts: 4 Years Domestic Judgment: 10 Years - Renewable Foreign Judgment: 10 Years Wage Garnishment: Exemptions for necessities of life. See federal law Disclaimer: California debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Colorado	Written Contract: 6 Years Written Contract Goods Services: 3 Oral Agreement: 2 Years Open Accounts: 3 Years Domestic Judgment: 6 Years - Renewable Foreign Judgment: 6 Years Wage Garnishment: See federal law Disclaimer: Colorado debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Connecticut	Written Contract: 6 Years Oral Agreement: 3 Years Open Accounts: 6 Years Domestic Judgment: 20\|25 Years Small Claims Judgment: 10/15 Foreign Judgment: 20 Years Wage Garnishment: 25% may be garnished from disposable earnings each week; or, 40 times the federal minimum hourly wage, which ever is less Disclaimer: Connecticut debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Delaware	Written Contract: 3 Years Oral Agreement: 2 Years Open Accounts: 4 Years Sale of Goods: 4 Years Domestic Judgment: None Foreign Judgment: None Wage Garnishment: 85% of disposable earnings or disposable earnings minus $150 Disclaimer: Delaware debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Florida	Written Contract: 5 Years Open Accounts: 4 Years Domestic Judgment: 7 Years - Renewable Foreign Judgment: 5 Years Wage Garnishment: See federal law Disclaimer: Florida debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Georgia	Written Contract: 6 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 7 Years Foreign Judgment: 5 Years Wage Garnishment: See federal law. But, city, county & state employees may be garnished Disclaimer: Georgia debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Hawaii	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 6 Years Domestic Judgment: 10 Years Foreign Judgment: 6 Years Wage Garnishment: 95% of 1st $100, 90% of 2nd $100, 80% net wages in excess of $200 per month or federal limits, whichever is greater Disclaimer: Hawaii debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Idaho	Written Contract: 5 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 5 Years - Renewable Foreign Judgment: 6 Years - Renewable Wage Garnishment: See federal law Disclaimer: Idaho debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Illinois	Written Contract: 10 Years Oral Agreement: 5 Years Open Accounts: 5 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: Same as originating jurisdiction Wage Garnishment: 15% of gross wages or disposable earnings for each work week up to 45 times the federal minimum hourly wage, whichever is greater Disclaimer: Illinois debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Indiana	Written Contract: 10 Years Oral Agreement: 6 Years Open Accounts: 6 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: 10 Years Wage Garnishment: 75% of disposable earnings for each work week or the amount of 30 times the federal minimum hourly wage, whichever is greater Disclaimer: Indiana debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Iowa	Written Contract: 10 Years Oral Agreement: 5 Years Open Accounts: 5 Years Domestic Judgment: 10 Years - Renewable on the 9th year Foreign Judgment: 10 Years - Renewable on the 9th year Wage Garnishment: See federal law Disclaimer: Iowa debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Kansas	Written Contract: 5 Years Oral Agreement: 2 Years Open Accounts: 3 Years Domestic Judgment: 5 Years - Renewable Foreign Judgment: 5 Years - Renwable Wage Garnishment: See federal law Disclaimer: Kansas debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Kentucky	Written Contract: 15 Years Open Accounts: 5 Years Oral Agreement: 5 Years Domestic Judgment: 15 Years Foreign Judgment: 15 Years Wage Garnishment: 75% of disposable income or 30 times the federal minimum hourly wage, whichever is greater Disclaimer: Kentucky debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Louisiana	Written Contract: 10 Years Open Accounts: 3 Years Promissory Notes: 5 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: 75% disposable earnings per work week, but not less than 30 times the federal minimum hourly wage Disclaimer: Louisiana debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Maine	Written Contract: 6 Years Written Contract With Attestment - 20 Years Open Accounts: 6 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: Garnishment of 25% of disposable income or 40 times the federal minimum wage per week, whichever is less and only after judgment Disclaimer: Maine debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Maryland	Written Contract: 3 Years Open Accounts: 3 Years Sale of Goods: 4 Years Domestic Judgment: 12 Years Foreign Judgment: 12 Years Wage Garnishment: Greater of 75% or amount equal to $145 x number of weeks in which wages due were earned; except in Caroline, Worchester, Kent & Queen Anne's Counties. Exemption is up to $3,000 in cash and/or property for non-wage property exemption. See also federal law Disclaimer: Maryland debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Massachusetts	Written Contract: 20 Years Open Accounts: 6 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: $125 per week maximum Disclaimer: Massachusetts debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Michigan	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 4 Years Domestic Judgment: 10 Years - Renewable Foreign Judgment: 10 Years Wage Garnishment: See federal law Disclaimer: Michigan debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Minnesota	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 4 Years Transportation Services: 3 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: Greater of 75% or amount equal to 40 times the federal minimum hourly wage Disclaimer: Minnesota debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Mississippi	Written Contract: 3 Years Open Accounts: 3 Years Sale of Goods: 6 Years Domestic Judgment: 7 Years Foreign Judgment: 7 Years Wage Garnishment: See federal law Disclaimer: Mississippi debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Missouri	Written Contract: 10 Years Oral Agreement: 5 Years Open Accounts: 5 Years Sale of Goods: 4 Years Domestic Judgment: 10 Years - Renewable every 3 years Foreign Judgment: 10 Years - Renewable every 3 years Wage Garnishment: Head of household 10% of weeks net pay; Single person without dependents 25% of weeks net pay. See federal law Disclaimer: Missouri debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Montana	Written Contract: 8 Years Oral Agreement: 5 Years Open Accounts: 5 Years Domestic Judgment: 6 Years - Renewable Foreign Judgment: 6 Years - Renewable Wage Garnishment: See federal law Disclaimer: Montana debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Nebraska	Written Contract: 5 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 5 Years - Renewable every 5 years Foreign Judgment: 5 Years Wage Garnishment: Greater of 75% disposable earnings. If head of household equal to 85%, or 30 times the federal minimum hourly wage Disclaimer: Nebraska debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Nevada	Written Contract: 6 Years Signed Lease: 4 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 6 Years Foreign Judgment: 6 Years Wage Garnishment: Can only garnish 25% of disposable earnings for each week or 30 times the federal minimum hourly wage, whichever is less Disclaimer: Nevada debt collection laws can change over time, and you need to consult with an attorney before you use this information.
New Hampshire	Written Contract: 3 Years Sealed Instrument: 20 Years Open Accounts: 3 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: 50 time the federal minimum hourly wage. Although, all future wages are exempt so that the court cannot issue an ongoing order Disclaimer: New Hampshire debt collection laws can change over time, and you need to consult with an attorney before you use this information.
New Jersey	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: $142.50 week minimum or 10% of gross earnings $142.50 and over Disclaimer: New Jersey debt collection laws can change over time, and you need to consult with an attorney before you use this information.
New Mexico	Written Contract: 6 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 14 Years Foreign Judgment: 14 Years Wage Garnishment: Greater of 75% or amount each week equal to 40 times the federal minimum hourly wage Disclaimer: New Mexico debt collection laws can change over time, and you need to consult with an attorney before you use this information.
New York	Written Contract: 6 Years Open Accounts: 6 Years Domestic Judgment: 20 Years - 10 year renewable lien Foreign Judgment: 20 Years - 10 year renewable lien Wage Garnishment: 90% of earnings, except the first $127.50 per week is exempt Disclaimer: New York debt collection laws can change over time, and you need to consult with an attorney before you use this information.
North Carolina	Written Contract: 3 Years Sealed Instrument: 10 Years Oral Agreement: 3 Years Open Accounts: 3 Years Sale of Goods: 4 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: Garnishment only by political subdivisions for taxes, ambulance fees, etc. 100% of last 60 days earnings for family support Disclaimer: North Carolina debt collection laws can change over time, and you need to consult with an attorney before you use this information.
North Dakota	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 4 Years Domestic Judgment: 10 Years - Renewable Foreign Judgment: 10 Years - Renewable Wage Garnishment: Greater of 75% or amount each week equal to 40 times the federal minimum hourly wage. Plus $20.00 each household dependent Disclaimer: North Dakota debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Ohio	Written Contract: 15 Years Oral Agreement: 6 Years Open Accounts: 4 Years Domestic Judgment: 21 Years - Renewable every 5 years Foreign Judgment: 21 Years - Renewable every 5 years Wage Garnishment: Garnishment limited to once a month per employee. See federal law Disclaimer: Ohio debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Oklahoma	Written Contract: 5 Years Oral Agreement: 3 Years Open Accounts: 3 Years Domestic Judgment: 5 Years - Renewable Foreign Judgment: 3 Years Wage Garnishment: State law states that 75% of earnings are exempt, more if hardship is established. All federal exemptions apply Disclaimer: Oklahoma debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Oregon	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 6 Years Domestic Judgment: 10 Years - Renewable at 10 years Foreign Judgment: 10 Years Wage Garnishment: 75% of disposable earnings or 40 times the federal minimum hourly wage Disclaimer: Oregon debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Pennsylvania	Written Contract: 4 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 5 Years Foreign Judgment: 4 Years Real Estate Lien: 5 Years Personal Property Lien: 20 Years Wage Garnishment: 100% of wages, certain pensions and retirement accounts Disclaimer: Pennsylvania debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Rhode Island	Written Contract: 10 Years Oral Agreement: 10 Years Open Accounts: 10 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: See federal law Disclaimer: Rhode Island debt collection laws can change over time, and you need to consult with an attorney before you use this information.
South Carolina	Written Contract: 3 Years Oral Agreement: 3 Years Open Accounts: 3 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: 100% Garnishment Disclaimer: South Carolina debt collection laws can change over time, and you need to consult with an attorney before you use this information.
South Dakota	Written Contract: 6 Years Open Accounts: 6 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: 10 Years Wage Garnishment: 20% of the debtors disposable earnings for a 60 day period Disclaimer: South Dakota debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Tennessee	Written Contract: 6 Years Open Accounts: 6 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: See federal law Disclaimer: Tennessee debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Texas	Written Contract: 4 Years Open Accounts: 4 Years Domestic Judgment: 10 Years - Renewable Foreign Judgment: 10 Years - Renewable Wage Garnishment: 100% of Wages Disclaimer: Texas debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Utah	Written Contract: 6 Years Oral Agreement: 4 Years Open Accounts: 4 Years Domestic Judgment: 8 Years Foreign Judgment: 8 Years Wage Garnishment: $142.50 of disposable earnings for weekly wages Disclaimer: Utah debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Vermont	Written Contract: 6 Years Open Accounts: 6 Years Domestic Judgment: 8 Years Foreign Judgment: 8 Years Wage Garnishment: 75% of earning above minimum wage or what is necessary to live Disclaimer: Vermont debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Virginia	Written Contract: 5 Years Open Accounts: 3 Years Sale of Goods: 4 Years Domestic Judgment: 20 Years Foreign Judgment: 10 Years Wage Garnishment: See federal law Disclaimer: Virginia debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Washington	Written Contract: 6 Years Oral Agreement: 3 Years Open Accounts: 5 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: Greater of 75% or $64 week or 40 times the state minimum hourly wage Disclaimer: Washington debt collection laws can change over time, and you need to consult with an attorney before you use this information.
West Virginia	Written Contract: 10 Years Oral Agreement: 5 Years Open Accounts: 5 Years Domestic Judgment: 10 Years Foreign Judgment: 10 Years Wage Garnishment: Garnishment can withhold 20% of disposable income or 30 times the minimum hourly rate, whichever is less. Other exemptions apply - See West VA code 38-5A-3 Employees Disclaimer: West Virginia debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Wisconsin	Written Contract: 6 Years Open Accounts: 6 Years Domestic Judgment: 20 Years Foreign Judgment: 20 Years Wage Garnishment: 80% of net pay Disclaimer: Wisconsin debt collection laws can change over time, and you need to consult with an attorney before you use this information.
Wyoming	Written Contract: 10 Years Oral Agreement: 8 Years Open Accounts: 8 Years Domestic Judgment: 5 Years Foreign Judgment: 5 Years Wage Garnishment: See federal law for consumer credit sale, lease or loan. 65% for child support Disclaimer: Wyoming debt collection laws can change over time, and you need to consult with an attorney before you use this information.

Disclaimer: Statute of Limitation laws in every state get modified, repealed, amended, and/or changed by the legislature of that states jurisdiction. The authors and webmaster of StatuteofLimitation.info have made every effort to post the most current laws. Please use this site as a general reference and for comparison purposes. Do not substitute any information from this site for advice you would get from a qualified legal professional

US State Statute of Limitations

Statutes of Limitations For Bad Debt Collections

Debt Collection and the Statute of Limitations Laws for Bad Debt

Debt Collector Rules

Are Debt Collectors Harassing You?

BAD DEBT STATUTE OF LIMITATIONS

US State Statute of Limitations