I got a call the other day from a collecter saying I had opened a card in 2002 and its was closed in 2004 they said balance was $4500 would take 1 time payment of $2593, then the guy told me he might be able to get me a hardship case in which $600 would make it as if it was paid in full, I was obv very skeptical, I did a little research and saw the statute was 6 years in NY, I was never served papers to go to court prior to the 6 years being up, an I'm almost positive there is no judgement on me for that card so therefore I think I'm in the clear I was told if I got court papers show up and tell the judge it's a "time barred" matter meaning the staute has expired, does anyone know if this is accurate?? I read it on a state based web site, an when the collector called back to see if I was going to send the $600 an I mentioned my recent findings he sounded a bit razzled and also lightly upset, if anyone knows if this is true of somewhat true PLEASE let me know A.S.A.P. thank you

They want you to make a payment, then guess what the statue of limitation starts all over again, since you made a payment or had a activity on it.

Also collection people may call and try to collect for the next 50 years or until you die if they want, you will always OWE the money, they just can not sue you in court for the money after the SOL is passed.

This is common procedure for some of the collection firms that buys junk debt for about 1 to 10 cents on the dollar, they hope that maybe 5 or 6 people out of that 100 people will send them some money,

so therefore I think I'm in the clear

A debt NEVER expires. However, the ability of a creditor to use legal means to collect on that debt does expire. And it would appear that has happened in your case. So if they try to take you to court, you can use the SOL defense to have the suit dropped.

If you did decide to settle, make sure you get it in writing that the payment would be paid in full before you give them anything. As Chuck noted, any payment could start the SOL again.

From an ethical standpoint you are not in the clear. You borrowed this money and therefore you owe will owe it for the balance of your lifetime. By defaulting on this loan you have passed the burden for your debt on to the rest of your fellow citizens. Other people who have cards from the same issuer are paying higher rates due to your default. The carrier also probably took a charge off the amount so that they paid less taxes transferring the tax burden to others. No man is an island in this world, anything you do affects other people however minimally. {getting off soapbox}

Also... the creditor can legally keep this on the debtors credit reports essentially forever and the banks will probably refuse to extend any further credit as long as it remains unpaid. Even without going to court.

Yes my wife works in a bank and that's an immediate kiss of death on a loan or credit application. Even in credit unions.

They see that you screwed someone else and they assume you will likely screw them too.