Legal Question in Credit and Debt Law in North Carolina
statue of limitations/unsecured credit card debt
Regarding the above subject...Can a debtor file suit after 3 yr. SOL has expired; and is it, for lack of a better term, an ''automatic'' defense? I know, providing special circumstances don't alter the situation, the 3 yrs. begins on the date of late payment. But I want to be sure I understand---that means payment to anyone on this account?? In other words, just because a collection agency purchases the debt, the 3 years doesn't start again, does it? Additionally, we fear they could file in a county outside our area; secure a judgement, all unbeknownst to us. What recourse would one have; is that a possibility? I can't tell you how much I, and I am sure many others appreciate the service you provide; and am so very grateful for your expertise in response to my query.
1 Answer from Attorneys
Re: statue of limitations/unsecured credit card debt
Selling it to a collection agency should not cause the statute of limitations to start over. However, this is important - when you get a lawsuit, you must hire an attorney or file an answer. If you do not respond and raise any defenses, the creditor will get a judgment against you.
By the way, if they threaten you with a lawsuit when they really can't or have no intention of suing you, they may have violated provisions of the Fair Debt Collections Act.
As to your concerns about getting a judgment somewhere else, they would still need to serve you with the lawsuit. If they can contact you now, then they should know your address. If they do get a judgment against you and you don't feel that you were served, then find an attorney.
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