When consumers fall behind on credit card payments, they often worry about whether a creditor or debt buyer may file a lawsuit to collect the debt.
However, creditors do not have unlimited time to bring legal claims. Every state has a statute of limitations, which sets the maximum time period for filing a lawsuit.
If a lawsuit is filed after the statute of limitations has expired, the claim may be time-barred, meaning the consumer may have a legal defense.
Understanding the statute of limitations for credit card debt can help consumers protect their rights when dealing with debt collectors.
What Is the Statute of Limitations for Credit Card Debt?
The statute of limitations is a law that limits how long a creditor has to file a lawsuit seeking repayment of a debt.
Once this time period expires, the creditor may still attempt to collect the debt, but they may not be able to successfully sue for it in court if the statute of limitations defense is properly raised.
The length of the statute of limitations varies by state and sometimes depends on how the debt is classified under state law.
When Does the Statute of Limitations Begin?
In many cases, the statute of limitations begins running after the date of the last payment or last activity on the account.
However, the exact starting point can vary depending on state law and the facts of the account.
In some situations, certain actions—such as making a payment or acknowledging the debt—may restart or extend the statute of limitations.
Because the rules can vary, determining the correct timeline may require reviewing the account history and applicable state law.
Statute of Limitations for Credit Card Debt by State
The following table provides general time limits for filing lawsuits on credit card debt in each state. Laws may change, and specific cases may involve additional legal considerations.
| State | Time Limit |
|---|---|
| Alabama | 6 years |
| Alaska | 3 years |
| Arizona | 6 years |
| Arkansas | 5 years |
| California | 4 years |
| Colorado | 6 years |
| Connecticut | 6 years |
| Delaware | 3 years |
| Florida | 5 years |
| Georgia | 6 years |
| Hawaii | 6 years |
| Idaho | 5 years |
| Illinois | 5 years |
| Indiana | 6 years |
| Iowa | 5 years |
| Kansas | 5 years |
| Kentucky | 5 years |
| Louisiana | 3 years |
| Maine | 6 years |
| Maryland | 3 years |
| Massachusetts | 6 years |
| Michigan | 6 years |
| Minnesota | 6 years |
| Mississippi | 3 years |
| Missouri | 5 years |
| Montana | 5 years |
| Nebraska | 5 years |
| Nevada | 6 years |
| New Hampshire | 3 years |
| New Jersey | 6 years |
| New Mexico | 4 years |
| New York | 3 years |
| North Carolina | 3 years |
| North Dakota | 6 years |
| Ohio | 6 years |
| Oklahoma | 5 years |
| Oregon | 6 years |
| Pennsylvania | 4 years |
| Rhode Island | 10 years |
| South Carolina | 3 years |
| South Dakota | 6 years |
| Tennessee | 6 years |
| Texas | 4 years |
| Utah | 6 years |
| Vermont | 6 years |
| Virginia | 3 years |
| Washington | 6 years |
| West Virginia | 5 years |
| Wisconsin | 6 years |
| Wyoming | 8 years |
Because statutes of limitation can depend on how the claim is categorized, consulting applicable state law is important when evaluating a specific case.
What Happens If the Statute of Limitations Has Expired?
If a creditor files a lawsuit after the statute of limitations has expired, the defendant may raise the statute of limitations as a legal defense.
Courts generally do not automatically dismiss time-barred claims unless the defense is raised.
If the defense applies, the court may dismiss the lawsuit.
Debt Buyers and Statute of Limitations Issues
Many debt collection lawsuits are filed by debt buyers, which are companies that purchase delinquent accounts from original creditors.
Common debt buyers include:
- Portfolio Recovery Associates
- Midland Credit Management
- LVNV Funding
- Cavalry SPV
- Jefferson Capital Systems
These companies often acquire large portfolios of charged-off debts and attempt to collect them.
Determining whether the statute of limitations has expired can be an important issue when evaluating these lawsuits.
Can Making a Payment Restart the Statute of Limitations?
In some states, making a payment on an old debt may restart the statute of limitations.
Similarly, acknowledging the debt in writing may also extend the time period in certain jurisdictions.
Because the rules vary significantly by state, consumers should be cautious when responding to collection attempts involving very old debts.
What To Do If You Are Sued for an Old Credit Card Debt
If you receive a lawsuit involving credit card debt, consider taking the following steps:
- Review the complaint carefully.
- Determine when the last payment on the account occurred.
- Identify the applicable statute of limitations in your state.
- Avoid ignoring the lawsuit.
- Consider consulting a consumer rights attorney.
Debt collectors must comply with legal requirements when pursuing lawsuits.
Speak With a Consumer Rights Attorney
Debt collection lawsuits can involve complex issues involving statutes of limitation, documentation, and ownership of the account.
If you have been sued for credit card debt, a consumer rights attorney may be able to review your case and explain your legal options.
Understanding your rights can help you make informed decisions when facing debt collection claims.
