Legal Question in Credit and Debt Law in Virginia

Re: Old Repo Causes New Headache

First, collection agencies will lie and say that they can do this and that. They can do NOTHING, except harass you on the telephone and by mail.

In order for any collection to take place, they must hand the debt over to an actual law firm. NOTHING can happen against you unless a lawsuit is filed, you have a chance to show up in court, and you get a trial. Collection agencies routinely scare people into thinking that the collection agency can attach your assets or wages. This CANNOT happen until AFTER a lawsuit is filed... and won against you. NOthing can happen without a trial in court first (UNLESS they have your address wrong and you don't show up, because you don't know about the trial date! Make sure you show up in court!)

Second, YES, under Virginia law, this is clearly outside the statute of limitations, which is 5 years for a written contract (3 years for a verbal contract) UNLESS you made a promise to pay in writing that restarted the clock. Also, if you make a payment this can restart the clock against you.

However, Virginia law allows a creditor to file a lawsuit against you even outside the statute of limitations. I guess the theory is that a debtor can always voluntarily pay even if they don't have to.

Therefore, the only time the statute of limitations comes into play is after you are sued, and then YOU MAKE SURE YOU SHOW UP!!! on the date in question (make sure they have your address correct so that you get proper notice, and they have no excuse for sending the lawsuit to the wrong address). Then you must OBJECT on the basis of the statute of limitations. And then you will win.

But nothing will happen until you OBJECT in court that the claim is oustide the statute of limitations. Only then will it stop.

And there is nothing to prevent the collection agency from calling and writing. They can be jerks all the want, unfortunately.

But it helps if you know... DON'T take them seriously!