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Statue of Limitations Questions: To wait for it or not?


turnaround418
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I've researched and read this forum for about a week. This is my first post. I apologize for any rambling or rule violations.

Background: This dispute involves a bank issued credit card that I supposedly last paid on 06/2007. It was considered delinquent in 09/2007. In 11/2009 it was sold to a CA.

I lived in California the entire time I owned the card.

The credit card was issued by a bank with an Oregon maling address (at a California branch).

The Collections Agency is located in Virginia.

Questions:

1. What state should I look at in determining the statue of limitations debt? California, Oregon, Virginia? I think it's California. But can someone confirm?

2. The alleged debt is getting close to passing the statue of limitations in California and Virginia. I am in no rush to clean up my credit report. Is it worth it to wait for the debt to pass the statue of limitations and deal with it then (Sue letter, validation, zombie debt) or would the people of the forum advise to just get the ball rolling and go straight to the debt validation request letter?

Thanks for reading! Any help is appreciated.

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Background: This dispute involves a bank issued credit card that I supposedly last paid on 06/2007. It was considered delinquent in 09/2007. In 11/2009 it was sold to a CA.

I lived in California the entire time I owned the card.

The credit card was issued by a bank with an Oregon maling address (at a California branch).

The Collections Agency is located in Virginia.

Questions:

1. What state should I look at in determining the statue of limitations debt? California, Oregon, Virginia? I think it's California. But can someone confirm?

2. The alleged debt is getting close to passing the statue of limitations in California and Virginia. I am in no rush to clean up my credit report. Is it worth it to wait for the debt to pass the statue of limitations and deal with it then (Sue letter, validation, zombie debt) or would the people of the forum advise to just get the ball rolling and go straight to the debt validation request letter?

The location of the CA (Virginia) has nothing to do with the SOL because the CA bought the underlying debt . But you say you lived in California "the entire time I owned the card" - do you still live in California? Virginia?

If you don't live in California now, the laws where you live probably control the SOL. You could argue the "Choice of Law" under the card agreement, that's the "this agreement is to be construed under the laws of XXX" piece of the card agreement, but that could be a long shot.

If you're still a California resident, entered into the agreement in California, and even better, made the agreement in person at a California branch of the bank, the laws of California are probably going to control and you're covered by California SOL.

If you last paid in 2007 and the SOL is nearly up, don't do anything (like a DV) that could awaken the dragon before SOL has run out. If you know you owe this debt, why DV? What's the dispute? What are you trying to accomplish?

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The SOL will be California if that is where you live now and where you lived when you last paid on the card.

It appears the 4 year California statute of limitations expires this month. the SOL goes from the DOFD not the date the CA opened or purchased the account.

I do not believe that DVing will result in a law suit. I would send them a DV letter and see what comes back. If the validate the debt send them an SOL and cease and desist letter (unless you want to try and work out a PFD) and then dispute the debt with the credit bureaus.

This has worked for me.. In fact I had almost the exact same situation except mine was a medical bill and they respned to my SOL/C&D letter by removing their tradelines from my reports (Transunion so far, but I assume if they have done it with Trans they will with the other two also).

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Thanks for your input thus far!

Great to hear the SOL is 4 years. I have maintained California residence all my life.

I have never received a lawsuit letter from the CA and I'm hoping starting some correspondance with them will not bring about one.

Just to get my game plan straight: I'm sending the CA a DV. If they end up sending proper validation; I can still lawfully file a SOL and cease and desist letter?

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