When does the time clock start for the SOL? Is it when the last "current" payment was made? Or is it when the company that lent the money gave up on trying to get the money back and considered the loan in default? In my case, I had a motor cycle accident in 1991 and like an idiot, I did not have health insurance. The insurance company paid up to $ 7,000.00, but my medical expenses were much more than that. I also noticed that states have different SOL's. I live in Massachusetts, and my state's SOL is six years not seven. This web page has been a great deal of help. Thanks in advance.
I believe your confusing the SOL with credit bureau reporting time. A SOL is the time allowed to legally collect a debt. If the SOL expires, then legally, the debt is un-enforceable. However that does not remove the debt from your reports. The debt can remain on your credit reports for 7 years from date of first serious delinqency or charge off. For a full explanation go to www.carreonandassociates.com, click on "Resources" and go to SOL. bkonner wrote: ------------------------------- When does the time clock start for the SOL? Is it when the last "current" payment was made? Or is it when the company that lent the money gave up on trying to get the money back and considered the loan in default? In my case, I had a motor cycle accident in 1991 and like an idiot, I did not have health insurance. The insurance company paid up to $ 7,000.00, but my medical expenses were much more than that. I also noticed that states have different SOL's. I live in Massachusetts, and my state's SOL is six years not seven. This web page has been a great deal of help. Thanks in advance.
Actually, the applicable laws are different for 1991 than they are now with regard to SOL's on credit reporting. In 1991, the seven years start from the date of default (or charge off), not the date of first delinquency. There is a letter on the FTC's website addressing this if you want to check this out.
NO one follows the pre ammended data anyway including the bureaus, so to cut the confusion for people just have them read the FCRA or deal with it everyday. The 7 year rule is began at the onset of charge off or default (ie, first SERIOUS delinquency.) Steve Anderson wrote: ------------------------------- Actually, the applicable laws are different for 1991 than they are now with regard to SOL's on credit reporting. In 1991, the seven years start from the date of default (or charge off), not the date of first delinquency. There is a letter on the FTC's website addressing this if you want to check this out.
