All tagged Debt Buyer

Michigan has a statute of limitations on debt collection of six years (with certain, limited exceptions).  Say you have a balance on a credit card, fall on hard times, and six years goes by without a) you making a payment on the account, or b) the creditor filing a lawsuit against you.  Under Michigan law, you now have a defense to any future debt collection lawsuits they might be thinking of filing!  If you're sued, and you timely and appropriately assert that the statute of limitations has passed (the "this debt is time-barred" defense) in your answer, you just may well win your case!

But there's a catch ...

If the creditor can convince you to pay something - anything - on that old debt, the six-year period starts all over again!

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