I have a question concerning the Statute of Limitations in California. I have a Credit Card debt that is a few years past the Statute of Limitations (4 years in California) this I am sure of. My question is, I just recently found out about the statute of limitations law but I have been repaying this debt for a little over a year and a half now. I have checked my credit report and this debt is not on there... It shows I have no accounts in collections or any public records, i.e. judgements against me. So my question is, do I still have to continue repaying this debt?? Any help or information would be greatly appreciated. Thanks
If you have the means to pay off your debt, then I suggest sticking with it. Your credit reports are clean at the moment, and you should want to keep them that way. Just because the SOL has run on a credit card debt doesn't mean it can't show up as a big bad collection on your credit report and ruin your perfect history.
WOW! Have you ever got that right. And that is one of the great snags in doing credit repair that people don't stop and think about. They put in a lot of work and some money cleaning up their credit reports. As we have seen in this and many other forums, many report great success. But the thing that is also seen from time to time is those who got their credit all cleaned up perfectly only to get sued later and then its all over down the drain when they get sued.
Keep in mind that the statute of limitations generally runs from the last time you missed a payment on a debt. Since you've been paying on the debt this whole time, the SOL really hasn't become a factor. If you were to stop paying right now, the SOL would begin ticking next month (or whenever your next payment is due). Debt collectors often use this tactic when dealing with ancient junk debts. If you have a $3000 credit card debt from 5 years ago and your state's SOL is 3 years, a junk debt buyer might send you a "wonderful" offer to "accept a $50 payment". The trap is, once you send that $50 payment, you have acknowledged the debt and re-started the SOL. If you never sent another dime, they could come after you for the remaining $2950 (or worse) -- the SOL would not apply. My advice is to continue paying.
As stated by others, paying can reset the SOL in some cases. So it is possible that you've done that. This means if you stop paying now, the other side could potentially use the courts to get a judgment against you even if you use the otherwise sound affirmative defense of SOL. Some courts, however, have ruled that if the SOL is over, paying after that fact can't restart it. Is that true where you are, Dumb Bob doesn't have any idea. And even if it's the case, making that argument pro se may be like building a Saturn V rocket in your bathtub with a rubber ducky and toothpaste. Regarding the SOL on items being placed on your credit reports, that's a different beast entirely. It is possible to reset one SOL and not the other or potentially to reset both. Laws on contract statute of limitations are state specific. So don't count on the fact that the reports are clear to prove to yourself that you are out of SOL with regard to legal action on the alleged debt.
