If you have been late with payments and debt becomes delinquent, creditor can file lawsuit against you. If creditor wins, it is entitled to collect the judgment awarded by court. Generally, there is a time limit for creditor to act and start collecting, but many states permit a renewal of those judgments several times even after they expire. So you as a debtor can be liable forever until the judgment is satisfied.
If a lawsuit has not been filed yet, there is a separate time limit for doing so, which you can find under statute limitations for debts.
| State |
SOL in Years |
Maximum Interest Rate |
| Alabama |
20 |
12% |
| Arkansas |
10 |
10.5% |
| Alaska |
5 |
10% |
| Arizona |
10 |
Fed + 5% |
| California |
10 |
10% |
| Colorado |
20 |
8% |
| Connecticut |
20 |
10% |
| Delaware |
No Limit |
Legal + Fed Discount + 5% |
| D.C. |
3 |
70% of interest rate or 6% if not specified |
| Florida |
20 |
10% |
| Georgia |
7 |
12% |
| Hawaii |
10 |
10% |
| Iowa |
6 |
10.875% |
| Idaho |
20 |
9% |
| Illinois |
20 |
8% |
| Indiana |
20 |
10% |
| Kansas |
5 |
4% above Fed Discount |
| Kentucky |
15 |
12% |
| Louisiana |
10 |
9% |
| Maine |
20 |
7.5% |
| Maryland |
12 |
15% if under 30 months, T-bill rate if over 30 months |
| Massachusetts |
20 |
10% |
| Michigan |
10 |
20% |
| Minnesota |
10 |
6.953% |
| Mississippi |
7 |
5% changes yearly |
| Missouri |
10 |
Amount in contract |
| Montana |
10 |
9% |
| North Carolina |
5 |
10% |
| North Dakota |
6 |
1% above bond equiv Yield |
| Nebraska |
20 |
2% above Prime |
| New Hampshire |
20 |
10% |
| New Jersey |
14 |
No provisions |
| New Mexico |
20 |
8.75% without written contract |
| Nevada |
10 |
9% |
| New York |
10 |
8% |
| Ohio |
21 |
12% |
| Oklahoma |
5 |
10% |
| Oregon |
10 |
4% over T-bill |
| Pennsylvania |
4 |
9% renewable @10 yrs |
| Rhode Island |
20 |
6% |
| South Carolina |
10 |
12% |
| South Dakota |
20 |
14% |
| Tennessee |
10 |
10% |
| Texas |
10 |
10% |
| Utah |
8 |
can be 18% w/Agreement or 6% without |
| Virginia |
8 |
Judgement Contract Rate |
| Vermont |
20 |
12% |
| Washington |
10 |
9% |
| Wisconsin |
10 |
12% |
| West Virginia |
20 |
10% |
| Wyoming |
5 |
12% |
The information above is believed to be accurate at the time of the creation of this page, and is for reference only. Bad Credit Help doesn’t provide legal advice. If there is lawsuit against you filed or being filed, consult a qualified attorney.
