We can assist with:
- Debt collection
- Drafting secured promissory notes
- Settling debts
- Bankruptcy counseling
- Enforcing payment terms
- Enforcing judgments
- Reviewing contracts
Statute of Limitation on Debt Collection in Arizona
Written contracts: 5 years
Oral contacts: 3 years
Promissory notes: 6 years
Open-ended accounts (including credit cards): 3 years
(the statute of limitations are subject to change)
The Statute of Limitation is the amount of time that the company intending to sue has to proceed based off of the time of the breach of contract (i.e. lack of payment). You cannot be sued for lack of a one or two time payment, but if you are 180 days delinquent then the account may be charged off. After 180 days of no payment, the timeline of when the crediting company can proceed with a lawsuit begins.
In the state of Arizona, the timelines range from 3-6 years but is dependent on the specific contract that is being breached. If the contract is oral or open-ended such as credit cards, then there is a 3 year lawsuit timeline. If the breach is for a written contract, the company may sue within a 5 year timeframe and if a promissory contact is breached, they have the ability to sue up to 6 years.
What Does a Debt Collection Attorney do?
Whether you are a consumer that owes or cannot pay a debt or a creditor trying to get their money, a debt collection attorney can be your solution to fixing your financial issues.
Are you unable to pay back a debt? Do you need help negotiating a payment plan with a creditor? If so, you may benefit from working with a debt collection attorney. We have the knowledge and experience to help figure out your best course of action to take care of your debts. Debt collection attorneys can negotiate on behalf of a consumer with creditors, protect consumers against unlawful harassment by creditors, represent consumers in court, or help a consumer file bankruptcy if needed.
As a creditor, you can hire a debt collection attorney to assist in getting your money back from a delinquent debtor. We can increase your chances of lawfully figuring out a game plan to get the money you’re owed.
The Fair Debt Collections Practices Act [FDCPA]
Money issues can affect all of us at some point in our lives. When money woes make it hard to repay a debt, having a collection agency step outside the law to try and collect make matters worse. The Fair Debt Collections Practice Act, or FDCPA, is a federal law that keeps third-party debt collectors in check. The FDCPA restricts the number of times a debt collector can contact you, the times of day they can call, and regulates other methods a debt collect can use to try and get repayment. Please note, this act only applies to third-party debt collectors.
What is a Judgment?
If you find yourself unable to pay your debts, an individual or debt collector can sue you. If a lawsuit is filed against you and you ignore the lawsuit, do not respond to the lawsuit, and/or lose the lawsuit, the court can enter a judgment against you. This means you are legally required to repay the debt.
It is possible to appeal, reverse or amend a judgment; however, if the judgment stands there are several ways a debt collector and enforce the judgment.
How can a judgment be enforced?
Depending on your state’s statute of limitations on debt collection the judgment can follow you for many years. A creditor can attempt to get their money back by going after your bank account(s), garnishing your wages, or personal property. It is in your best interest to get ahead of this extreme situation by talking with an attorney familiar with consumer law.
This article contains general legal information and does not contain legal advice.