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Texas debt law

Texas statute of limitations on debt

Texas gives most creditors four years to file a debt lawsuit. Once that time is up, a debt buyer may not sue at all, and paying a little does not bring the claim back. This guide explains how the Texas clock works.

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How many years does a creditor have to sue in Texas?

Texas sets most consumer debts at four years. The exceptions come from the kind of paper behind the debt, not from who holds it today.

Texas statute of limitations by debt type
Kind of debtTime limit to sueWhere the law says it
A debt, such as an unpaid loan balance or a charged-off account4 years from accrualTex. Civ. Prac. & Rem. Code § 16.004(a)(3) (Texas Legislature, opens in a new tab)
An open or stated account, such as a revolving store or card account4 years from the day dealings ceaseTex. Civ. Prac. & Rem. Code § 16.004(c) (Texas Legislature, opens in a new tab)
A promissory note payable at a definite time6 years from the due date or the accelerated due dateTex. Bus. & Com. Code § 3.118(a) (Texas Legislature, opens in a new tab)
A claim with no express period in the statutes4 years from accrualTex. Civ. Prac. & Rem. Code § 16.051 (Texas Legislature, opens in a new tab)
A Texas court judgmentDormant after 10 years without a writ of execution; can be revived within 2 years of dormancyTex. Civ. Prac. & Rem. Code §§ 34.001, 31.006 (Texas Legislature, opens in a new tab)

Is a credit card four years or six in Texas?

For most card accounts the answer lands on four years, either as a debt or as an open account under § 16.004. The six-year rule in the Business and Commerce Code covers a note payable at a definite time, which is how some personal and installment loans are written.

Which rule governs your account depends on the signed papers, so treat it as a question for a lawyer rather than a guess.

We are not a law firm and cannot say which Texas period applies to your account. TexasLawHelp.org, a legal aid office or a lawyer from the State Bar referral service can usually tell from your statements and agreement.

From what date does the Texas clock run?

The four years count from the day the claim accrues (Texas Legislature, opens in a new tab). For an open or stated account, the statute fixes that day as the one on which the dealings between the parties cease. For a note, the six years run from the due date, or from the new date if the lender accelerated the balance.

Write down your last payment date and the charge-off date for each account and keep them with your statements.

Can a debt buyer sue on an old debt in Texas?

No. Since 2019, Tex. Fin. Code § 392.307 (Texas Legislature, opens in a new tab) says a debt buyer may not file suit or start arbitration on a consumer debt once the § 16.004 or § 3.118 period has run. A debt buyer is anyone who acquires a consumer debt from the creditor or a later owner.

The same section requires a warning in the first letter about such a debt. It opens with these words: "THE LAW LIMITS HOW LONG YOU CAN BE SUED ON A DEBT. BECAUSE OF THE AGE OF YOUR DEBT, WE WILL NOT SUE YOU FOR IT."

The debt still exists after the limit. A buyer may keep asking you to pay, and federal rules separately bar any debt collector from suing or threatening to sue (eCFR, opens in a new tab) on a time-barred debt.

What can pause the clock or bring an old debt back?

Texas law pauses the clock while the person who owes the debt is out of the state (Texas Legislature, opens in a new tab), under § 16.063. On revival, the general rule in § 16.065 is that an acknowledgment of a claim that looks barred counts only if it is in writing and signed by you.

For debts held by a debt buyer, Texas goes further.

  • A payment on a barred debt does not revive a debt buyer's right to sue (§ 392.307(d)).
  • An oral or written reaffirmation of that debt does not revive it either.
  • Neither does any other activity on the account.
  • An original lender that still owns the debt is not a debt buyer, so the general rule in § 16.065 is the one to ask a lawyer about.

The CFPB warns that, in many states, a partial payment may restart the time period (CFPB, opens in a new tab). Texas has its own rules above, so get legal advice before you pay or sign anything on an old account.

Does the Texas limit decide how long a debt stays on your credit report?

No. Credit reporting runs on a federal clock. Most collection and charged-off accounts may be reported for seven years (Cornell LII, opens in a new tab), starting 180 days after the delinquency that led to the collection or charge-off.

The Texas notice reflects this. Its wording changes depending on whether that federal reporting period has run and whether the buyer reports the account.

What if a Texas court case is filed on an old debt?

Answer on time even if you believe the debt is too old. In justice court the answer is due by the end of the 14th day (Supreme Court of Texas, opens in a new tab) after you are served; in county or district court, by 10:00 a.m. on the Monday after 20 days.

The CFPB notes a court can still rule against you if you do not appear and raise the time limit.

  1. Read the citation for the court name and the answer date.
  2. Find the last payment date and the charge-off date for the account.
  3. Check whether the plaintiff bought the debt: in justice court the petition must name prior holders and the original creditor.
  4. Call TexasLawHelp.org, legal aid or the State Bar referral service before the answer date.

Where to get legal help

Free and low-cost legal help.

We are not a law firm and cannot give legal advice. These are the people who can, many of them free. None of them pays us, and we do not pay them.

  • A lawyer

    State Bar of Texas Lawyer Referral and Information Service

    Refers you to a lawyer for your kind of case. The first consultation, up to 30 minutes, costs no more than $20. Phone (800) 252-9690; Spanish spoken.

    Open the State Bar of Texas (opens in a new tab)
  • Legal aid

    TexasLawHelp.org

    A program of Texas Legal Services Center: free guides and forms for debt cases, including answering a debt suit in justice court, and a finder for legal aid near you.

    Open TexasLawHelp.org (opens in a new tab)
  • Court self-help

    Texas State Law Library: legal help

    The state law library's list of Texas legal hotlines, clinics and legal aid organizations. Librarians can point you to the law but cannot tell you what it means for your case.

    Open the State Law Library (opens in a new tab)
  • Legal aid

    Free legal aid near you

    Legal aid offices give free civil legal help, including with debt lawsuits, to people who qualify. The Legal Services Corporation finder lists the office for your area.

    Find legal aid (LSC) (opens in a new tab)
  • A lawyer

    How to find a consumer lawyer

    The CFPB explains where to look for a lawyer who handles debt collection cases, and what experience to look for.

    Read the CFPB guide (opens in a new tab)

Things you should know

The downsides, stated plainly.

Read these before you enroll anywhere, including with us. They apply to every debt settlement program.

  • Your credit score will drop during the program, and late payments stay on your credit report.
  • Creditors may keep collecting while you save, and they can sue. The program does not stop legal action.
  • Interest and late fees can keep adding to your balances until each account settles.
  • Forgiven debt may be taxable income. A creditor may send you IRS Form 1099-C.
  • Fees apply. The fee is a percentage of your enrolled debt, set individually, and charged only after a settlement is reached.
  • Not all creditors agree to settle, and not everyone completes the program.
  • We do not guarantee any amount, percentage or timeline.
  • Debt settlement is not available in all states. We are not a nonprofit or a credit counseling service, and we do not lend money.
  • We do not give legal or tax advice. Talk to an attorney or a tax professional about your situation.

Straight answers

Texas time limits, plain answers.

Rather hear it from a person? 866-659-7966

What is the statute of limitations on credit card debt in Texas?

For most card accounts it is 4 years under Texas Civil Practice and Remedies Code section 16.004, either as a debt or as an open account. Which rule applies to a given account is a question for a lawyer.

Does paying an old debt restart the clock in Texas?

If a debt buyer owns it, no: Texas Finance Code section 392.307 says a payment, or an oral or written reaffirmation, does not revive a barred claim. For other creditors, the general rule is that only a written, signed acknowledgment counts. Talk to a lawyer first.

How long is a judgment good for in Texas?

A Texas judgment becomes dormant if no writ of execution is issued within 10 years. A dormant judgment can be revived within 2 years after it goes dormant.

Can a collector still contact me about a time-barred debt in Texas?

Yes. The debt still exists and a collector may ask you to pay it. What Texas and federal rules bar is a lawsuit, or a threat of one, on a debt past the time limit.

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