FEDERAL LAW - CONSUMER PROTECTION



 

US CODE, TITLE 15, CHAPTER 41— CONSUMER CREDIT PROTECTION


Index:

   
SUBCHAPTER I  CONSUMER CREDIT COST DISCLOSURE (Regulatory law TILA - Reg. Z, and new Reg Z (2010))
SUBCHAPTER II RESTRICTIONS ON GARNISHMENT
SUBCHAPTER II-A CREDIT REPAIR ORGANIZATIONS (The Credit Repair Organizations Act - CROA)
SUBCHAPTER III CREDIT REPORTING AGENCIES (The Fair Credit Reporting Act - FCRA)
SUBCHAPTER IV EQUAL CREDIT OPPORTUNITY (The ECOA)
SUBCHAPTER V DEBT COLLECTION (The Fair Debt Collection Practices Act - FDCPA)
SUBCHAPTER VI ELECTRONIC FUND TRANSFERS

 


 

US CODE, TITLE 11 — BANKRUPTCY

Is bankruptcy your best option?

Index:

CHAPTER 1 GENERAL PROVISIONS
CHAPTER 3 CASE ADMINISTRATION
CHAPTER 5 CREDITORS, THE DEBTOR, AND THE ESTATE
CHAPTER 7 LIQUIDATION
CHAPTER 9 ADJUSTMENT OF DEBTS OF A MUNICIPALITY
CHAPTER 11 REORGANIZATION
CHAPTER12 ADJUSTMENT OF DEBTS OF A FAMILY FARMER OR FISHERMAN WITH REGULAR ANNUAL INCOME
CHAPTER 13 ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR INCOME
CHAPTER 15 ANCILLARY AND OTHER CROSS-BORDER CASES

 


 

CREDIT CARD ACCOUNTABILITY RESPONSIBILITY AND DISCLOSURE ACT OF 2009

Index:

   
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
SECTION 2. REGULATORY AUTHORITY
SECTION 3. EFFECTIVE DATE.

 


 

SERVICEMEMBERS CIVIL RELIEF ACT

Overview


 

Index:

   
§ 501. Short title
§ 502. Purpose
TITLE I GENERAL PROVISIONS
TITLE II GENERAL RELIEF
TITLE III RENT, INSTALLMENT CONTRACTS, MORTGAGES, LIENS, ASSIGNMENT, LEASES
TITLE IV LIFE INSURANCE
TITLE V TAXES AND PUBLIC LANDS
TITLE VI ADMINISTRATIVE REMEDIES
TITLE VII FURTHER RELIEF
§§ 781 to 785 Omitted

 

 


 

STATE LAW
STATUTES OF LIMITATIONS ON DEBT
AND BANKRUPTCY EXEMPTIONS

 

Statutes of limitations for enforcement on debt. To see a complete list of state rules click on the state's name
State Open Ended Accounts (Credit Cards) Written Contracts Promissory notes Oral Agreements
Alabama 3 Years 6 Years 6 Years 6 Years
Alaska 6 Years 6 Years 6 Years 6 Years
Arizona 3 Years 6 Years 5 Years 3 Years
Arkansas 3 Years 5 Years 6 Years 3 Years
California 4 Years 4 Years 4 Years 2 Years
Colorado 6 Years 6 Years 6 Years 6 Years
Connecticut 6 Years 6 Years 6 Years 3 Years
Delaware 3 Years 3 Years 6 Years 3 Years
D.C. Wash 3 Years 3 Years 3 Years 3 Years
Florida 4 Years 5 Years 5 Years 4 Years
Georgia 4 Years 6 Years 6 Years 4 Years
Hawaii 6 Years 6 Years 6 Years 6 Years
Idaho 4 Years 5 Years 10 Years 4 Years
Illinois 5 Years 10 Years 6 Years 5 Years
Indiana 6 Years 10 Years 10 Years 6 Years
Iowa 5 Years 10 Years 5 Years 5 Years
Kansas 3 Years 5 Years 5 Years 3 Years
Kentucky 5 Years 15 Years 15 Years 5 Years
Louisiana 3 Years 10 Years 10 Years 10 Years
Maine 6 Years 6 Years 6 Years 6 Years
Maryland 3 Years 3 Years 6 Years 3 Years
Massachusetts 6 Years 6 Years 6 Years 6 Years
Michigan 6 Years 6 Years 6 Years 6 Years
Minnesota 6 Years 6 Years 6 Years 6 Years
Mississippi 3 Years 3 Years 3 Years 3 Years
Missouri 5 Years 10 Years 10 Years 5 Years
Montana 5 Years 8 Years 8 Years 5 Years
Nebraska 4 Years 5 Years 6 Years 4 Years
Nevada 4 Years 6 Years 3 Years 4 Years
New Hampshire 3 Years 3 Years 6 Years 3 Years
New Jersey 6 Years 6 Years 6 Years 6 Years
New Mexico 4 Years 6 Years 6 Years 4 Years
New York 6 Years 6 Years 6 Years 6 Years
North Carolina 3 Years (New 2009 laws READ) 3 Years 5 Years 3 Years
North Dakota 6 Years 6 Years 6 Years 6 Years
Ohio undefined/written contract apply 15 Years 15 Years 6 Years
Oklahoma 3 Years 5 Years 5 Years 3 Years
Oregon 6 Years 6 Years 6 Years 6 Years
Pennsylvania 4 Years 4 Years 4 Years 4 Years
Rhode Island * 10 Years 10 Years 10 Years 15 Years
South Carolina * 3 Years 3 Years 3 Years 3 Years
South Dakota 6 Years 6 Years 6 Years 6 Years
Tennessee 6 Years 6 Years 6 Years 6 Years
Texas 4 Years 4 Years 4 Years 4 Years
Utah 4 Years 6 Years 6 Years 4 Years
Vermont 6 Years 6 Years 5 Years 6 Years
Virginia 3 Years 5 Years 6 Years 3 Years
Washington 3 Years 6 Years 6 Years 3 Years
West Virginia 5 Years 10 Years 6 Years 5 Years
Wisconsin 6 Years 6 Years 10 Years 6 Years
Wyoming 8 Years 10 Years 10 Years 8 Years

Statutes of limitations for enforcement on debt. To see a complete list of state rules click on the state's name

 


 

Differences between "Open ended Accounts" and "Written Contracts"


A credit card is is defined under the Truth in Lending Act as an open-end account, but many debt collectors will argue in court that because the terms and conditions of the account are in writing and the defendant accepted those terms by using the card the card member agreement is in fact a contract and any breach of the card holder agreement falls under the statute of limitations for written contracts.

The truth is that contract law states that 'performance' is to be considered an implied contract, this is normally the situation with credit cards.

When you use the card, it would be considered as performance and that will create an implied contract. Do not try to deny the existence of a contract between you and the CC company, its not necessary.
State law usually has an statute of limitation specifically for open ended accounts, such as credit cards, even if there is a valid written contract with the CC company the statute of limitations for open ended accounts always supersedes the statute for written contracts, those agreements are generic in nature, nobody signs them, they do not contain any personally identifying information and usually can be changed at any time by the credit card company. They lack most of the features of a written contract, that's the reason why the law makes a difference between written contracts (Promissory notes) and open ended accounts (Charge accounts, credit cards...)

There is no evidence that the creditor and parties have entered into the agreement only the assertion by the original creditor that the agreement was sent to the consumer and unless the creditor enclosed the agreement in the same envelope where the credit card was sent and they can prove that it is their usual practice,  there is no way for them to prove that such agreement was ever received.
For this reason, some states have passed so called statute of fraud laws, to prevent these "he said-she said" cases..

As a rule, only extensions of credit with precise fixed terms will fall under the statute of limitations for written contracts. This includes loans such as car loans and mortgages.... Any loans where you sign a promissory note or contract, and usually pay back in installments.

If a third party such as a debt collector attempts to enter a credit card agreement into evidence, the assertion that the OC did send exactly that credit card agreement to the defendant the assertion that the defendant did receive and read that agreement and the assertion that the defendant agreed and therefore is bound to the terms and conditions (Meting of the minds is a requirement on all contracts) of the agreement is hearsay. 
However, the agreement itself is not hearsay because it falls under the business records exception. Admissibility could be challenged because the agreement lacks foundation for the reasons above... no names, acct numbers, signatures, terms could be different from the agreement that they really sent if any....

Keep in mind that usually the maximum interest rate for collections allowed by state law is much lower than the default interest rate listed on those agreements, even if they can provide documents to prove that they are entitled to receive any payments (Documents such as their purchase agreement or proof of assignment)  you could also challenge the amount claimed by the debt collector.

So, a credit card agreement is a written agreement not a written contract.  Also, a credit card account is an open-end account as defined on TILA and the statute of limitations for open-ended accounts applies. In addition, a credit card agreement  when entered by a debt collector its very likely to suffer from potential fatal defects due to lack of foundation and hearsay.

 

 


NOTICE AND DISCLAIMER

This web site is made available by BCR Consulting for educational purposes only as well as to give information and a general understanding of the law, It is not intended to provide any kind of legal advice and we give no guaranties of the accuracy of the information provided. The information contained on this site should not be used as a substitute for competent legal advice from a licensed professional attorney in your state. Use at your own risk
By using this site you understand that there is no attorney client relationship between you and the site publisher.

Last updated on Dec/12/2009