Statutes of Limitation: Collecting Time-Barred Debt Fastfax #1119

Mar 01, 2012

Statutes of limitation concern the amount of time within which a legal remedy may be brought to assist with the collection of a debt. They are set by individual states, and vary considerably based upon the type of contract. A debt collector is not bound by a statute of limitations when requesting payment on a debt. However, a collector may violate provisions of the FDCPA when threatening to take legal action when the debt has gone beyond the statutory time limit.