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Exitexchange1 · Oct 29, 2008, 03:51 PM

I opened a credit card in 1999 and was young & dumb and didn't pay it. In April of 2003 they sent it to collections with 30% interest. So a balance of $1,900 is now $3,000. The lawyer just sent me a letter in October 2008 that the debt is now due and owing. This is the first time that they have ever contacted me about this debt. Can they wait that long to collect? Its been over 5 years.

Stephieee · Oct 29, 2008, 03:59 PM

Depends. What state were you in when you opened the cc account?

Exitexchange1 · Oct 29, 2008, 04:02 PM

I opened a credit card in 1999 and was young & dumb and didn't pay it. In April of 2003 they sent it to collections with 30% interest. So a balance of $1,900 is now $3,000. The lawyer just sent me a letter in October 2008 that the debt is now due and owing. This is the first time that they have ever contacted me about this debt. Can they wait that long to collect? Its been over 5 years. (In the state of Oregon)

Stephieee · Oct 29, 2008, 05:51 PM

Oregon's statute of limitations is 6 yrs, so yes, they can collect it until 6 years after the last payment.

As for the interest and attorneys fees, they can really add up. My suggestion is to just completely ignore them- don't answer your phone. If they file a suit, then ask for the cardholder agreement with your signature on it. If they don't have that, they have no proof. Period.

Finally, if they have sued you and are able to produce the signed document, attempt to settle with them. Start with the original amount owed (the 1300 or whatever). They bought that debt from the credit card co. for mere pennies- you'd be surprised at how low they'll settle.

It worked for me in Maryland- a good website to check out is www.budhibbs.com- it'll answer pretty much any quesiton you have about the whole process.

Fr_Chuck · Oct 29, 2008, 06:39 PM

Sorry but yes they may, Also many collection firms will still use an attorney and sue even if it is outside the legal period, hoping you will not show up in court and they win automatically without having to prove anything.

But you need to try and work out a payment plan with them

NASCAR_Devil · Oct 30, 2008, 05:36 AM

When was the last time you made a payment? Stephieee is right. SOL starts with the date of last payment so you might actually be out of statute. Unless you live in WI or MS, an unpaid debt is collectible util the sun goes supernova but if it is out of SOL and in the hands of a junk debt buyer, I wouldn't pay them a penny.