When sufficient time passes in a situation in which consumer debts have gone unpaid, a debt collector can lose the legal right to sue for non-payment. In Arkansas, the statute of limitations on debt collection is three years for open credit card accounts, three years for oral contracts, five years for written contracts, and three years for promissory notes. For any time period, the clock begins ticking from the “date of default,” which is typically thirty days after the last payment was actually made. When debts remain unpaid prior to the statute time period elapsing in full, creditors maintain legal right to sue you for non-payment and are permitted to engage debt collection agencies who can make persistent attempts at collection – provided they remain within the bounds of the Arkansas debt collection statute and the Fair Debt Collection Practices Act.

Yes, if you are a resident of Arkansas and currently are burdened by high levels of unsecured debt – including credit card accounts, personal loans, unpaid medical bills and private student loans, United Settlement can assist you with a variety of debt relief programs that include debt settlement and debt consolidation. Debt settlement occurs when a debtor successfully negotiates a payoff amount for less than the total balance owed on a debt. Debt consolidation involves combining a variety of debts from different creditors into one single debt consolidation loan, simplifying the repayment process while resulting in a lower blended interest rate. Contact us here at United Settlement, where our experienced credit counselors possess relationships with the major credit card lenders and a broad understanding of the debt marketplace. We can help you achieve the peace of mind that comes with living a debt-free lifestyle.

In Arkansas, the statute of limitations on debt collection for open credit card accounts is three years. When debts remain unpaid prior to the statute time period elapsing in full, creditors maintain the legal right to sue for non-payment and are permitted to engage debt collection agencies who can make persistent attempts at collection.

If you ignore a debt collector in Arkansas, the debt collector may sue for the amount owed, and if you ignore a court summons, this will likely result in a judgment made against you. At this point, wage garnishment becomes a possibility. In Arkansas, a creditor can garnish up to 25% of a delinquent debtor’s disposable income – which is defined as the amount of money remaining after legally mandated deductions from a paycheck – or 30 times the Federal minimum wage, whichever is less.