Legal Question in Credit and Debt Law in Texas
When is SOL really 7/10 years???
It is my understanding that the SOL takes affect upon the date of the last payment transaction or ''activity'' on an account. Taking into account that presumption is correct, how is it legal for a debtor to continue to report (negative/derogatory remarks) on a person's credit file after 7 yrs from the date of the last payment transaction?
Example: I have an upaid (closed) credit card account reported on my credit file which is almost 9 years old from the last REAL ''activity''. However, the 'bank' has continued collection efforts on this account for years, even though I have had no contact with them (either by phone or in writing). On my credit file, it is reflected as an OPEN account - by virtue (only) of their collection activity(?). (Q) So as long as a creditor continues to attempt collection on a debt, THAT is considered ''activity'', and the SOL clock never starts??? That seems totally unfair. I have suffured from negative remarks on this account for 7 years, how much longer will this continue?
Also, I notice an onslaught of collection attempts directly after I have requested a copy of my personal credit report. (Q) Is the reporting agency providing this data to the debtors (as well as my current contact info)?
2 Answers from Attorneys
Re: When is SOL really 7/10 years???
You are mixing apples with oranges. The statute of limitations for suit on a debt is four years from date of default. The Fair Credit Reporting Act provides that a debt may be reported on your credit report seven years from the date of last activity - your definition. A collector or creditor may continue to try to collect - they just cannot file suit nor can they report it beyong the seven years.
Re: When is SOL really 7/10 years???
In addition to Ms. Campbell's reply, the 10 year limit is for reporting bankruptcy.
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