What is the Statute of Limitations on Debt? A State-by-State Guide

A statute of limitations on debt is the period of time a creditor or debt collector can take legal action against a borrower for to collect unpaid debts. Statute of limitations periods vary by state.

Credit accounts that are past the statute of limitations on debt are known as time-barred debts. You’re still required to repay time-barred debts, and they will probably still show up on your credit report and drag down your credit score.

Every State’s Statutes of Limitations

Here is a breakdown of each state’s statutes of limitations on the different types of debt, and a link to your state attorney general’s office for more information. (If you want to know more about the different types of debt, click here to go directly to that information.)

State	Oral agreements	Written contracts	Promissory notes	Open-ended accounts	For more information
Alabama	6	6	6	3	Alabama AG’s Office
Alaska	3	3	3	3	Alaska AG’s Office
Arizona	3	6	6	3	Arizona AG’s Office
Arkansas	3	5	5	5	Arkansas AG’S Office
California	2	4	4	4	California AG’s Office
Colorado	6	6	6	6	Colorado AG’s Office
Connecticut	3	6	6	3	Connecticut AG’s Office
Delaware	3	6	6	3	Delaware AG’s Office
Florida	4	5	5	5	Florida AG’s Office
Georgia	4	6	6	4	Georgia AG’s Office
Hawaii	6	6	6	6	Hawaii AG’s Office
Idaho	4	5	5	5	Idaho AG’s Office
Illinois	5	10	10	5	Illinois AG’s Office
Indiana	6	10	6	6	Indiana AG’s Office
Iowa	5	5	10	5	Iowa AG’s Office
Kansas	3	5	5	3	Kansas AG’s Office
Kentucky	5	15	15	5	Kentucky AG’s Office
Louisiana	10	10	10	3	Louisiana AG’s Office
Maine	6	6	20	6	Maine AG’s Office
Maryland	3	3	12	3	Maryland AG’s Office
Massachusetts	6	6	6	6	Massachusetts AG’s Office
Michigan	6	6	6	6	Michigan AG’s Office
Minnesota	6	6	6	6	Minnesota AG’s Office
Mississippi	3	3	6	3	Mississippi AG’s Office
Missouri	5	10	10	5	Missouri AG’s Office
Montana	5	8	8	5	Montana AG’s Office
Nebraska	4	5	5	4	Nebraska AG’s Office
Nevada	4	6	3	4	Nevada AG’s Office
New Hampshire	3	3	6	3	New Hampshire AG’s Office
New Jersey	6	6	6	6	New Jersey AG’s Office
New Mexico	4	6	6	4	New Mexica AG’s Office
New York	6	6	6	6	New York AG’s Office
North Carolina	3	3	3	3	North Carolina AG’s Office
North Dakota	6	6	6	6	North Dakota AG’s Office
Ohio	6	8	6	6	Ohio AG’s Office
Oklahoma	3	5	5	5	Oklahoma AG’s Office
Oregon	6	6	6	6	Oregon AG’s Office
Pennsylvania	4	4	4	4	Pennsylvania AG’s Office
Rhode Island	10	10	10	10	Rhode Island AG’s Office
South Carolina	3	3	3	3	South Carolina AG’s Office
South Dakota	6	6	6	6	South Dakota AG’s Office
Tennessee	6	6	6	6	Tennessee AG’s Office
Texas	4	4	4	4	Texas AG’s Office
Utah	4	6	6	6	Utah AG’s Office
Vermont	6	6	14	6	Vermont AG’s Office
Virginia	3	5	6	3	Virginia AG’s Office
Washington	3	6	6	6	Washington AG’s Office
West Virginia	5	10	10	10	West Virginia AG’s Office
Wisconsin	6	6	6	6	Wisconsin AG’s  Office
Wyoming	8	10	10	8	Wyoming AG’s  Office

Can a Debt Collector Take You to Court After Seven Years?

Yes. An expired statute of limitations is never a sure-fire way to avoid court, but in some states, the debt collector will still be able to sue you after seven years. The exact timetable will depend on your state’s laws. As you can see from the table above, in some states it will take 10 to even 20 years for the statute of limitations to expire, depending on the type of debt. And even once the clock runs out, the debt collector could still try to sue you for other reasons. 

For example, they might try to:

• Argue that the statute of limitations isn’t applicable
• Argue that the statute of limitations clock isn’t correct
• Try to challenge a debt that originated in a different state with a longer statute of limitations 

Statutes of Limitation Don’t Apply to All Types of Debt

Though most debts are covered by a statute of limitations, there are a few exceptions. That means creditors can sue you for these balances no matter how old your accounts are.

These include:

• Federal student loans
• State taxes (in some states)
• Child support (in some states)

Pro tip: Be sure to double-check your state’s laws and consider asking a lawyer for help if you aren’t sure whether your debt might be exempt.

Should I Pay Off Debts After the Statute of Limitations Expires?

How you should deal with debts that are past your state’s statute of limitations is complicated. If you’ve let any credit account go delinquent for several years, you will already be facing significant legal, financial and credit score repercussions.

Pro tip: It will be less damaging to your financial situation to consider debt consolidation or debt settlement, unless the statute of limitations is about to run out in three months or less.

READ MORE: Debt consolidation vs. debt settlement

Dealing with debts that are past the statute of limitations will depend on your financial situation. There are significant legal, financial, and credit-related repercussions to letting a credit account be delinquent for years.

You can’t ignore the problem forever. Though creditors and debt collectors can’t sue you for time-barred debts, they can still attempt to get their money through other means. Your account may also continue to damage your credit score and rack up late fees, penalties and interest.

Pro tip: It’s best to seek legal advice for your situation. Check for a law firm that offers a free consultation.

Types of debt

Each state groups debts into four types with separate rules for each. Here are some of the key differences.

Oral agreements

If you borrowed money from someone and promised to repay it, but never wrote down the agreed-upon terms, it’s considered an oral agreement. These usually occur between friends or family.

Written contracts

If you promise to pay a third party in exchange for specific goods and/or services, that’s a written contract. For example, if you sign a contract agreeing to pay $800 for water heater repairs and you fail to pay that bill, the service worker or company can sue you for the balance. 

Medical debt is often considered a written contract, but some states have a different statute of limitations specifically for medical bills.

Promissory notes

A promise to pay a fixed amount of money under specific situations is considered a promissory note. Installment loans, student loans, auto loans and home loans are considered promissory notes. 

Pro tip: It’s also possible to set up a promissory note without a fixed installment structure. For example, you if you borrow money from a friend and issue a promissory note that says you’ll pay them back in a lump sum at a future date.

Open-ended accounts

Open-ended accounts don’t have a fixed repayment term. Credit card debt and home equity  lines of credit that assign you a credit limit and allow you to access money on a rolling basis (as long as you make your payments) are key examples.

To learn more about statutes of limitations and how they work, check out this video:

The Bottom Line

Waiting for the statute of limitations to run out on your debt is a risky strategy, but if you have a debt that’s close to the deadline, it could keep you out of court. Still, it will likely take years for your credit score to recover. If you can’t afford to repay your debts, you’re better off considering a different option, like debt consolidation or debt settlement.

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