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SOL question from a newbie


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Hi everyone. I'm so pleased to have found this board! You guys are really helpful.

I am in the process of cleaning up my credit report (and have had some successes!) There are some old credit card debts (from 1996) still remaining on the report. I am confused about the SOL. Equifax says the items can remain for 7 years, but I live in Tennessee which has an SOL of 6 years. Which would apply? Does the SOL end on the month/year, or just at the start of the year?

Thanks!

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THe state SOL means that is the length of time they have to sue. If they file past the SOL you may site that as a defense and win.

The 7 year reporting SOL means the length of time derogs may be listed on your credit report and is defined by the FCRA.

It should end on a particular month.

[Edit by bingo on Monday, April 28, 2003 @ 09:37 AM]

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I would like to add a few questions about SOL if I may :)

1) When exactly does the time frame begin for SOL?

2) What kind of SOL do old utility bills fall under? What about medical bills? Loans such as cars?

3) Does the SOL "clock" restart with each new collection agency that handles the debt? OR does it begin with the OC and end from that point?

4) This was mentioned in another thread, I would like an answer here if I could get one. Say I had an old debt, like a car I had to finish paying for, one day a CA found me and wrangled me into paying something. Did the SOL just restart? Those pesky buggers were running out of SOL I can see in hind sight and were threatening all kinds of nasty action against me. Knowing what I know now, I think I helped them by re-setting the SOL! Doh! :rolleyes: Did I? Did I also re-set the 7 year clock?

I know I asked alot of questions, but I tried to keep them organized for you. Thanks alot.

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The SOL is a cause of action. It starts when you first went deliquent and never recovered. In other words, from the first missed payment. The SOL is fixed at that time-reselling among ca's does not change the SOL.

It's my understanding that medical bills, utility bills and, auto repos come under states ucc codes. Hopefully Ladynred will swing by and address those issues.

In most states, you need a new written and signed contract to restart the SOL. What state do you live in? PAying a ca will not restart the 7 year clock unless, you sign a new contract.

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Me.. dropping in :D

Medical bills are covered under the UCC SOL for goods and services and I believe that is 4 years. Same would hold true for utilities - its a service.

My understanding of the definition of a written contract is that its for a finite period of time and payments are made in a specified amount for the term of the contract. Medical bills are hardly 'fixed' in this manner. There's no set period of time and there are no terms for 'installment' payments, interest, etc.

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OK, here is the specific on my car:

GMAC Closed (Transferred)

Date opened 9/96

Reported 6/00

Last current payment was 12/96

Voluntary surrender 3/97

For all that time between my last payment in 12/96 up until last summer, I did't pay anything, then I paid a CA $50 a month for a few months, but I never signed anything. My scheduled automatic checks ran out and I haven't heard from them since. No phone calls, no letters, nothing. SOL for a written contract in Iowa(residence) was 10 years I believe, but only 6 in SD (where it was purchased).

I'm going to have to look into this further, because honestly these people are at the very bottom of my list of people to pay back. The car broke down on us and we couldn't afford to fix it AND pay for it, so we gave it back. They tried selling it on an auction and only got a couple grand for it, leaving us with the balance due. I would love to see the SOL run out on this, but if it doesn't, I will be sure to use some of the tips I've seen here if I need to pay these guys.

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