Tag: regulations

Statute of Limitations (SOL) is a time period allowed by the state for a creditor to assert their claim on a debt. The time period varies greatly depending on the type of contract (oral, written, promissory note or open-ended) and the state where the debtor resides. For example, the SOL can range from two years for an oral contract in California to 15 years for a written contract in Kentucky or West Virginia. If the debt is not paid within the time frame allowed, suit must be initiated.

As long as your accounts are getting collected, why should it matter to you that your collection agency is properly licensed, bonded and compliant? That’s their concern, right? In short, yes, it is something the agency should have at the top of their mind. They should be able to tell you what safeguards have been put into place to remain compliant, as well as provide you with licenses for any state in which they collect and their bonding information. So is your collection agency licensed, bonded and compliant?