I think I am understanding this SOL stuff wrong, so help me figure it out. From what I read here, If I have a chargeoff, car loan, or judgement, if I do not pay it back within a certain amount of time I am no longer legally responsible? Example- I have a ford credit account that was last paid on in 1996, I still owe 2000, If my SOL is 4 years, I dont have to repay? I am in NY, I dont know what my SOL is in this state.
Not exactly, but you're close. The debt will not go away with the passage of time. Your creditors can still try and collect and they can even sue you even though the SOL has expired. Should that happen, you must show up in court and site the SOL as a defense and you'll get a ruling in your favor. If you are sued and don't appear, you will get a default judgement against you.
So they can sue me but they cant get anything after 6 years? why try and sue if they wont get anything?
They may do so thinking you don't know you have to appear and defend and they get a defaukt judgement.
I have a question too. I asked it before but would like to get more opinions. Say I live in Michigan when I obtain a credit card and also get a charge off on it. I then move to NC which SOL law would be used?
The time limit for doing so is known as the statute of limitations, which is set by individual states. The relevant statute is the one for the state in which the debtor resided at the time of the delinquency. That is what I found...dang I thought I was going to pull a fast one! LOL
That is a simple question with a complicated answer. Some asked previously. It depends on the state laws in both states and the terms of the agreement. There is no "pat" answer.
