Debt Collection Laws in Arkansas: Know Your Rights
Arkansas gives debt collectors five years to sue on most debts, with medical debt limited to two years. You have strong protections under federal and state law against abusive collection practices. When sued, you have as little as 15 days to file an Answer, so responding quickly is critical to protecting your rights.
Answer Your LawsuitYou dread seeing that number on your caller ID again. The debt collector calls daily, sometimes multiple times.
Ignoring them isn’t working anymore. You need a better strategy.
Sued by an Arkansas Debt Collector? Respond in Minutes
You have just 15 days to file your Answer in Arkansas. Our partner Solo helps you draft, review, and file your legal response before the deadline expires.
Respond to Lawsuit NowArkansas residents have strong legal protections against abusive debt collection practices. You can fight back when collectors cross the line.
Arkansas Statute of Limitations on Debt
Debt collectors buy old debts from original creditors. They can only sue you within a specific timeframe.
The statute of limitations sets this deadline. After it expires, collectors lose their right to sue.
If they file a lawsuit anyway, you must raise this defense yourself. The judge won’t check automatically.
Our partner Solo makes it easy to use this defense in court.
Arkansas Debt Collection Deadlines
| Debt Type | Time Limit |
|---|---|
| Medical debt | 2 years |
| Credit card debt | 5 years |
| Auto loans | 5 years |
| Student loans | 5 years |
| Mortgages | 5 years |
| Court judgments | 10 years |
Written debts get a five-year collection window. But some consumer debts have just three years.
The three-year limit applies when collectors file breach of contract claims without written proof.
Federal Protection Under the FDCPA
The Fair Debt Collection Practices Act protects Arkansas residents nationwide. Collectors cannot engage in harassment or deception.
Prohibited Debt Collection Practices
Debt collectors cannot legally do any of the following:
- Threaten you with arrest or jail time
- Use profane or abusive language
- Contact your friends, family, or employer about your debt
- Call you more than once daily
- Contact you after receiving a cease and desist letter
- Refuse to verify your debt when requested
- Create fake legal documents or court papers
- Make false statements about your debt
The FDCPA applies only to third-party collectors. Original creditors follow different rules.
Arkansas State Debt Collection Laws
Arkansas grants additional protections beyond federal law. The State Board of Collection Agencies enforces strict regulations.
Licensed collectors face suspension or revocation for violations. The state prohibits many aggressive tactics.
Additional Arkansas Protections
Arkansas law bans these collection practices:
- Publishing “deadbeat” lists of debtors
- Using badges or uniforms that resemble law enforcement
- Sending documents that look like official government forms
- Threatening to publicly advertise your debt
- Using vulgar or obscene language
- Contacting you at work before trying your home
- Using or threatening physical violence
- Submitting false license application information
All collection agencies must register with the State Board. Operating without a license is illegal.
How to Handle Arkansas Debt Collectors
Knowing your rights is only the first step. You need an action plan.
Don’t Acknowledge Old Debts
Collectors pressure you to make small “good faith” payments. Don’t fall for this trap.
Any payment restarts the statute of limitations clock. Your expired debt gets another five years of life.
Even acknowledging the debt verbally can hurt your case. Stay silent until you understand your options.
Report FDCPA Violations
Document every abusive call or illegal tactic. You can report violations to federal authorities.
File complaints with the Federal Trade Commission at 877-382-4357. You can also report online through their website.
The Consumer Financial Protection Bureau accepts complaints at 855-411-2372. Both agencies investigate illegal collection practices.
Request Debt Validation
Send a debt validation letter within 30 days of first contact. Collectors must prove you owe the debt.
They must provide the original creditor’s name. They must show the debt amount and when it started.
Collectors must stop collection until they validate your debt. Many cannot produce proper documentation.
Send a Cease and Desist Letter
You can stop unwanted calls with a cease and desist letter. Collectors must stop contacting you after receiving it.
But there’s a catch. Collectors might skip straight to filing a lawsuit.
Use this option carefully. Have a plan to address the debt quickly.
Respond to Lawsuits Immediately
Arkansas gives you as little as 15 days to respond. Missing this deadline means automatic loss.
You must file a legal Answer with the court. Send a copy to the collection agency too.
Your Answer states your defenses. It shows the court you intend to fight back.
Our partner Solo helps you draft and file your Answer correctly. Attorneys can review your document before filing.
Settle Your Debt for Less
Settlement is often the fastest way out. You can typically pay 40-60% of the balance.
Collectors accept lump-sum payments to close accounts. They release you from the remaining balance.
Always get settlement terms in writing first. Pay before your court date if possible.
Professional settlement services guide you through negotiations. They protect your financial information during the process.
Example: Successful Debt Settlement
Luci forgot about her old credit card bills. Then a Little Rock collector started calling.
She researched her options instead of hiding. She sent a debt validation letter first.
Then she negotiated through a settlement service. She paid just 45% of the original debt.
Now she’s rebuilding her credit and moving forward. You can achieve similar results.
Take Action on Your Arkansas Debt Lawsuit
Time is critical when you’re sued for debt. You might have only 15 days to respond.
Missing the deadline means the collector wins automatically. They can garnish your wages or freeze your bank account.
Respond immediately to protect your rights. Professional help makes the process simple and stress-free.