Statute of Limitations on Credit Card Debt
Question: I paid off a credit card in 2000 after it had been deactivated. A couple of months ago, I started receiving calls from a collection agency about that card. I requested the provide me with information about the account and received nothing. They are now threatening me with small claims court. I have moved several times over the last 8 years and cannot find proof of paying the debt. Is there not a statute of limitations on this sort of stuff?
I live in Nova Scotia, Canada
Answer: In most provinces, including Nova Scotia, the statute of limitations on debts is six years. This does not mean that you do not owe the debt. Debts never go away. However, if the creditor was to take you to court and sue you, your defense could be that the Statute of Limitations has expired, and therefore they would be unable to obtain a judgment against you, making it very difficult for them to ever collect.
Please note that you are asking a legal question, and with all legal questions it is best to consult a lawyer for specific advice in your situation. One lawyer who specializes in both Canadian and American collection law is Mark Silverthorn, who can be reached through the Mark Silverthorn website.