WHAT IS THE SOL ON OLD ELECTRIC BILL ?

Question

what is the sol on a electric bill where i last made a payment in 01/2003 in louisiana but i've been living in texas since 08/2005?when does the sol begin?

i have a collecton letter from er solutions collection agency for this debt and need to know what state sol do i go by?louisiana closed the account in 03/2005 the amount is 252.00 that i wasn't aware of.

how should i handle this if the sol has indeed ran out for them to collect on this alleged debt?

thanks to everyone who responds to this question!

Answer 1

If you made your last payment on 1/2003 then the company will keep hounding you about it till1/2010 (SOL starts 7 years from the last payment made) If you don't pay the bill by 1/2010, it will be off your credit report and they can not harass you about it...

Answer 2

Typically the SOL starts from the last activity or last payment.  Payment usually restarts the clock.  A collection agency may try to use whichever state SOL works best for them.   Check the SOL for both states:  http://www.bcsalliance.com/statute_of_li...

If your last payment was 2003, that puts the debt beyond the SOL in both states.

I suggest you send the collector a letter.  Specifically say that this is not an acknowledgment of the debt but an attempt to expedite removal from your credit report.  Offer 25% if they will remove the derogatory item from your credit report.  You may want to point out that the debt is beyond the SOL.  Ask that an authorized agent of the credit bureau sign and return a copy of your letter indicating acceptance.  

When you get the signed copy, sent them a money order.  Do not give them direct access to your bank account.

Getting item removed from your credit will improve your score and should be a deal breaker.   This debt is over 5-1/2 years old and will age off your credit within 2 years.

Answer 3

The statute of limitations begins to run when the cause of action accrues.  The state law that applies would probably be the state law of Texas, because you are the defendant and it's where you live.  Most states have a SOL of 6 years for collections.  I don't know any that go more than that.

If you believe the statute of limitations has run out, file an Answer to any Complaint and in the Answer state as a defense that the statute of limitations has expired.  You can google the statute of limitations for collections activity in Texas, but I think it is 6 years.