Glossary → Debt
Debt

Statute of Limitations

The time limit for suing on a claim or debt.

A statute of limitations is the deadline by which a lawsuit must be filed. For debts, once it passes, the debt is “time-barred” — a creditor generally can’t sue to collect, though they may still ask. Making a payment or even acknowledging an old debt can sometimes restart the clock.

In practice

If your state’s limit is 4 years and your last payment was 5 years ago, the debt may be time-barred — don’t restart it by paying.

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