Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Nomorjer Kinov

>> I heard that too, but apparently if you make a new payment, the clock is started all over again and your credit can suffer.

I am an attorney, and worked in debt collection law while I was in law school.

I know that is is the case in Texas ... I’m not sure about Florida (though I would assume it is similar). The Texas statute of limitations is 2 years from the point at which the debt first went into default. Making a payment can reset that date - thus restarting the statute of limitations, and allowing the debt-holder to sue.

Debt collectors will often try to pressure you to make a payment to reset that date (though they won’t expressly say so). You certainly don’t want to do that on a 20-year-old debt ... as I am virtually certain that the Statute will have run.

H


34 posted on 09/27/2007 2:32:12 PM PDT by SnakeDoctor (How 'Bout Them Cowboys!!!)
[ Post Reply | Private Reply | To 28 | View Replies ]


To: Hemorrhage
know that is is the case in Texas ... I’m not sure about Florida (though I would assume it is similar). The Texas statute of limitations is 2 years from the point at which the debt first went into default. Making a payment can reset that date - thus restarting the statute of limitations, and allowing the debt-holder to sue.

In some states a payment can reset the limitations period but never the 7-1/2 year credit reporting period. In most, but not all, states, a mere verbal acknowledgement of the debt won't restart the SOL.

39 posted on 09/27/2007 2:42:41 PM PDT by BearCub
[ Post Reply | Private Reply | To 34 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson