• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

old bill

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

S

spencer451

Guest
recently contacted by collector concerning a credit card bill from 1986. no judgements were ever filed concerning this bill. is there a statute of limitations on this type of bill or am i still liabile?
 


bigun

Senior Member
If no judgement was ever filed I'd guess the SOL has run out. Speak with a lawyer to be certain. One caution. DO not make any attempt to repay or even enter into negoiations to repay. Even a partial payment will reset the clock. If you are sued, you must respond and inform the court of the SOL.
 
J

jackrabbit

Guest
mr.bigun,
i am glad to see a consumer advocate here, and a banker at that.my questions hopefully will be of some interest to the original poster.my apologies if i am infringing.
first,can one not just send the creditor and courts a copy of their credit report to show the sol and secondly what do you think about informal bankruptcy?i read some news articles somewhere on the net that the new bk laws would force people into that.thanks for trying to make the world a little more consumer friendly.
 

bigun

Senior Member
Hello jackrabbit,

Before you send things to a creditor or a court, you need to be certain that the info is correct. States have different intereptaions of contract law and different definitions of what is an open contract. Several web sites list my home state as having a 3 yr sol on cc debt. Not so-it's 6 years. It's best to measure twice and cut once. That's why I think a few bucks for a legal opinion is money well spent if it can clarify your legal position.
I'm unsure what you mean about "informal bk". In my mind a binding legal proceeding is not informal.
The new bill will have provisions that if your income is above the median income for your state and your living expenses are low enough that you have {in the trustees eyes} a positive cash flow then, you will be required to repay 25% or $10k over a 5 year period, whichever is less.
I believe the new bill will make bk more time consuming and more expensive for consumers because you will have to complete credit counciling and consumer finance classes before you can be discharged.
That being said, I believe the entire bill is much ado about nothing. Most lawyers will tell you the majority of their bk clients income is below the median income of the state plus, The Harvard Medical School released a study this past Dec. that found that 40% of personal bk's in 1999 was triggered by a health crisis and there was no health insurance. As a banker, I can tell you first hand that when someone loses a job their income drops south of the state median PDQ or when someone has a catatrophic iliness stike and $30k hospital bill and no insurance then what difference does the legislation make?
 
J

jackrabbit

Guest
mr. bigun,
thank you for your response.i found it very informative. i sincerely hope you continue sharing your knowledge on this forum.i will continue to look eagerly for your postings.take care!
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top