Credit Card Charge-Off Statute of Limitations: When Does It End?

A credit card charge-off happens when your creditor gives up on collecting payment after you’ve missed bills for 120–180 days. They mark it as a loss on their books, but here’s the kicker: you still owe the debt. Creditors do this to cut their losses for tax purposes, but it doesn’t let you off the hook. The timeline starts from your first missed payment-usually after 6 months of radio silence, they’ll charge it off.

Now, the fallout. Your credit score tanks-think 100+ points-and the charge-off sticks to your report for 7 years. Creditors might sell your debt to collectors, who’ll hound you or even sue (check 'statute of limitations in plain english' to know your window of risk). You’re still legally liable, and settling or paying can be messy. Ignoring it? Worse. The debt grows with interest, and collectors get aggressive.

The statute of limitations is the legal time limit creditors have to sue you for unpaid debt-like that old credit card bill you forgot about. It’s not a free pass, but it does mean they can’t drag you to court after the clock runs out. For credit cards, this period is usually 3–6 years, depending on your state. Think of it like an expiration date for lawsuits, not the debt itself. Even if the deadline passes, collectors can still bug you (ugh), but they lose their biggest weapon: legal action.

Here’s how it works in real life:

• Example: You last paid your Visa bill in 2020, then defaulted. In a 4-year state? By 2024, the debt is time-barred-but only if you don’t accidentally restart the clock (see '3 things that restart the limitations clock').
• Key detail: The clock starts at your last payment or default, not the charge-off date (that’s just when the bank gave up).
• Warning: Some collectors bluff about suing for expired debt-know your rights. Check your state’s limit in 'state-by-state statute of limitations chart' to stay ahead.

The statute of limitations clock for credit card debt starts ticking the moment you miss a payment and default on your account-usually after 30 days of non-payment, but the exact trigger depends on your card agreement. Think of it like this: if your last payment was on January 1st and you never paid again, that’s when the clock starts in most states. But here’s the kicker: the clock doesn’t reset just because the creditor charges off your debt (usually after 180 days) or sells it to a collector. That charge-off is just their internal accounting move-your legal exposure timeline keeps running.

Watch out for three things that can restart the clock entirely: making even a tiny payment (like $5), signing a new agreement, or admitting the debt in writing (yes, even a text or email counts in some states). If you do any of these, boom-the countdown begins again, and creditors get a fresh chance to sue. Check your state’s rules (see 'state-by-state statute of limitations chart') because some states are stricter than others. And if you’re juggling old debt, tread carefully-accidentally restarting the clock is way easier than you’d think.

Here’s your quick-reference state-by-state statute of limitations chart for credit card charge-offs. These timeframes dictate how long creditors can sue you-knowing your state’s limit helps you gauge legal risk.

State | Statute (Years) | Source

• Alabama 3 AL Code §6-2-37
• Alaska 3 AK Stat §09.10.053
• Arizona 6 AZ Rev Stat §12-548
• Arkansas 5 AR Code §16-56-111
• California 4 CA Civ Proc §337
• Colorado 6 CO Rev Stat §13-80-103.5
• Connecticut 6 CT Gen Stat §52-576
• Delaware 3 DE Code §8106
• Florida 5 FL Stat §95.11
• Georgia 6 GA Code §9-3-24
• Hawaii 6 HI Rev Stat §657-1
• Idaho 5 ID Code §5-216
• Illinois 5 IL Comp Stat §735/13-205
• Indiana 6 IN Code §34-11-2-9
• Iowa 5 IA Code §614.1
• Kansas 5 KS Stat §60-511
• Kentucky 5 KY Rev Stat §413.120
• Louisiana 3 LA Civ Code §3494
• Maine 6 ME Rev Stat §205
• Maryland 3 MD Cts & Jud Pro §5-101
• Massachusetts 6 MA Gen Laws Ch 260 §2
• Michigan 6 MI Comp Laws §600.5807
• Minnesota 6 MN Stat §541.05
• Mississippi 3 MS Code §15-1-29
• Missouri 5 MO Rev Stat §516.120
• Montana 5 MT Code §27-2-211
• Nebraska 4 NE Rev Stat §25-206
• Nevada 6 NV Rev Stat §11.190
• New Hampshire 3 NH Rev Stat §508:4
• New Jersey 6 NJ Stat §2A:14-1
• New Mexico 4 NM Stat §37-1-4
• New York 6 NY CPLR §213
• North Carolina 3 NC Gen Stat §1-52
• North Dakota 6 ND Cent Code §28-01-16
• Ohio 6 OH Rev Code §2305.07
• Oklahoma 5 OK Stat §12-95
• Oregon 6 OR Rev Stat §12.080
• Pennsylvania 4 42 PA Cons Stat §5525
• Rhode Island 10 RI Gen Laws §9-1-13
• South Carolina 3 SC Code §15-3-530
• South Dakota 6 SD Codified §15-2-13
• Tennessee 6 TN Code §28-3-109
• Texas 4 TX Civ Prac & Rem §16.004
• Utah 6 UT Code §78B-2-309
• Vermont 6 VT Stat §12-511
• Virginia 3 VA Code §8.01-246
• Washington 6 WA Rev Code §4.16.040
• West Virginia 5 WV Code §55-2-6
• Wisconsin 6 WI Stat §893.43
• Wyoming 8 WY Stat §1-3-105
• District of Columbia 3 DC Code §12-301

Note: Laws can change-always verify your state’s current statute. If you’re unsure, check ‘moving states: which law applies now?’ for clarity.

A charge-off is when your creditor gives up on collecting and writes your unpaid debt as a loss (usually after 6 months of no payments)-but here’s the kicker: you still owe it. The statute of limitations, though, is the legal time limit creditors have to sue you for that debt, which varies by state (typically 3–6 years). One’s an accounting move by the lender; the other’s a legal deadline. Even after a charge-off tanks your credit score, the statute clock keeps ticking until the debt is either paid or time-barred.

Don’t mix them up: a charge-off stays on your credit report for 7 years, but the statute of limitations determines when you’re legally safe from lawsuits. Say you moved states-check the 'state-by-state statute of limitations chart' because the rules change. And watch out: making a payment or even admitting you owe the debt can restart the clock (see '3 things that restart the limitations clock'). Bottom line? A charge-off hurts your credit, but the statute decides if you can be forced to pay.

3 Things That Restart the Limitations Clock
The statute of limitations isn’t set in stone-three actions can reset it, giving creditors a fresh chance to sue you. Here’s what to avoid if you’re trying to outlast the clock:

• Making a payment (even $1): Partial or full payments count. That "good faith" $20? It restarts the clock in most states.
• Signing a new agreement: If a collector tricks you into signing a repayment plan or settlement offer, the clock resets. Read fine print.
• Acknowledging the debt in writing: A text, email, or letter saying you owe the debt (even if you dispute it) can restart the timer.

Why this matters: A restarted clock means creditors can sue you again for the full amount. Check your state’s rules in 'state-by-state statute of limitations chart'-some states don’t allow restarts. If you’re unsure, consult a lawyer before acting on old debt.

Time-barred debt is old debt that’s past your state’s statute of limitations-meaning creditors can’t sue you to collect it. But here’s the catch: the debt still exists, and collectors can still bug you about it. Think of it like an expired parking ticket: the city can’t take you to court, but they’ll still send angry letters. The clock starts from your last payment or default (see 'when the statute of limitations clock starts'), and the timeframe varies by state (check 'state-by-state statute of limitations chart' for yours). If you’re sued, you must show up and say, “This debt is time-barred,” or the court might rule against you.

Creditors might try sneaky tricks, like getting you to admit the debt or make a small payment, which can restart the clock (yep, that’s in '3 things that restart the limitations clock'). Even if the debt’s time-barred, it can stay on your credit report for up to seven years. Don’t ignore a lawsuit-respond immediately. And if you’re unsure, check 'what happens if I’m sued after time runs out?' for next steps.

When you move states, the law that applies to your credit card debt usually depends on either your current state’s statute of limitations or the one in your original credit agreement. Confusing, right? Courts often favor the longer statute if there’s a dispute, so creditors may push for the state where you accrued the debt-especially if that timeline hasn’t expired yet. For example, if you moved from California (4-year limit) to Ohio (6-year limit) with old debt, collectors might argue Ohio’s law applies to keep the window open longer.

Your credit contract might have a “choice of law” clause specifying which state’s rules govern the debt, but courts don’t always enforce it. Some states prioritize their own laws over out-of-state agreements, especially if you’ve lived there long enough. Check your contract and compare it with both states’ statutes (see the ‘state-by-state statute of limitations chart’). If you’re unsure, consult a lawyer-this gets messy fast.

Bottom line: Creditors often pick the most favorable law, so don’t assume moving resets the clock. Keep records of your last payment date and original state’s rules. If you’re dealing with collectors, check ‘what happens if I’m sued after time runs out?’ to protect yourself.

If you accidentally pay old debt, you might restart the statute of limitations clock, giving creditors a fresh chance to sue you. This happens because even a small payment or acknowledgment can legally "revive" time-barred debt in many states. Check your state’s rules-some treat partial payments differently. Your credit report won’t magically improve either, since old debts stay for 7 years from the first delinquency.

Here’s what to do now:

• Stop further payments immediately. Even "good faith" gestures can backfire.
• Demand written proof the debt is yours and verify its age. If it’s past your state’s limit (see 'state-by-state statute of limitations chart'), dispute it.
• Monitor for lawsuits-creditors may see your payment as a green light. If sued, respond and cite the expired statute (learn how in 'what happens if I’m sued after time runs out?').

Yes, collectors can still call after the statute of limitations expires—but they can’t sue you. Time-barred debt means the legal window to take you to court has closed, but the debt itself still exists. Collectors might pester you with calls, letters, or even settlement offers, hoping you’ll pay (or worse, accidentally restart the clock—see 'what if i accidentally pay old debt?').

They can’t threaten lawsuits or mislead you about the debt’s status—that’s illegal under the FDCPA. If they cross the line, send a written cease-and-desist or report them. Your best move? Know your state’s statute (check 'state-by-state statute of limitations chart') and keep records of all communication. Don’t engage unless you’re sure—one wrong word could reset the clock.

If you’re sued after the statute of limitations expires, the debt is "time-barred," meaning the creditor can’t legally win a judgment-*if* you show up and prove the time limit passed. But here’s the catch: courts won’t automatically dismiss the case unless you raise the defense. Ignore the lawsuit? You’ll likely lose by default, even if the debt is old. For example, if your state’s limit is 4 years and your last payment was 5 years ago, the creditor might still sue hoping you won’t fight back.

What to do immediately:

• Check your state’s limit (use the 'state-by-state statute of limitations chart' to confirm).
• Respond to the lawsuit-file an answer with the court, citing the expired statute as your defense.
• Gather proof (last payment date, credit reports) to back your claim.
• Avoid acknowledging the debt-even saying "I’ll pay" can restart the clock (see 'what if I accidentally pay old debt?').

If you prove the debt is time-barred, the case gets dismissed. But if the creditor argues you restarted the clock (e.g., made a recent payment), you’ll need evidence to counter them. Always consult a lawyer if you’re unsure-many offer free initial consultations.

The statute of limitations for joint cardholders means both of you are on the hook for the full debt until the clock runs out in your state-and it starts from the last payment or default, even if only one of you made it. Think of it like co-signing a lease: if your roommate stops paying, the landlord can come after you. Creditors don’t care who messed up; they’ll sue either (or both) of you for the full amount during that 3-6 year window (check your state’s exact timeline in the 'state-by-state statute of limitations chart'). Worse? A single payment or written promise from either of you can restart the clock for both, thanks to "joint and several liability."

Here’s the kicker: even if your ex or family member was the one spending, you’re equally liable unless you closed the account before the debt piled up. And if you move states? The creditor might pick whichever state’s laws favor them (see 'moving states: which law applies now?'). Your best move? Freeze the card, track the statute deadline, and never acknowledge the debt in writing. If you’re sued, show up and argue the time’s up-otherwise, they’ll win by default.

A charge-off tanks your credit score immediately and sticks around like a bad houseguest-it’ll stay on your report for seven years from the first missed payment. Expect a 100+ point drop if your score was decent, worse if it wasn’t. Creditors see this as a red flag: you didn’t just miss payments; they gave up on collecting. FICO and VantageScore weigh charge-offs heavily because they signal high risk. The first two years hurt most, making it hard to get approved for loans, apartments, or decent interest rates. Even a "paid" charge-off doesn’t erase the damage, though it looks slightly better to lenders.

The sting fades over time. After year four, the impact lessens, but it’s still there. By year six, newer positive credit habits (like on-time payments) can overshadow it. The key? Don’t ignore it. Settling or paying the debt won’t remove the mark, but it stops collection calls and lawsuits (see 'what happens if I’m sued after time runs out?'). Focus on rebuilding-get a secured card, keep balances low, and let time do the rest.