Consumer Protection Law
Consumer Protection Law Questions? Ask a Lawyer Now.
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In Georgia, written contracts have a statute of limitations period of 6 years from the time in which the debt becomes due and payable and the period runs from the date of last payment. See: OCGA 9-3-24. This is unlike an open account, implied promise or undertaking has a statute of limitation of only 4 years. See: OCGA 9-3-25. If the GA 6 year statute of limitations expired, then they cannot sue over the debt. The key under the GA law you cannot give them anything in writing admitting to owing the loan as it could restart the statute of limitations.
You can send them a writing stating that you are writing to inform them the debt is time barred by the statute of limitations and you dispute that the debt is owed by you or is valid, but for the purposes of settlement only you would like to resolve the matter or have them cease and desist contact with you. Make your offer (it is best for a one time payment if possible) and tell them if they refuse to accept then they are to cease and desist communication over the time barred debt which you do not owe and failure to do so will result in you filing a complaint with the Federal Trade Commission and suing them under the Fair Debt Collection Practices Act for harassment over a time barred debt.
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You should talk settlement on the phone, because the law would not restart the statute of limitations over anything you say on the phone. You would have to say in writing that you admit the debt is your debt.