Learn about the difference between unsecured and secured debt, here.
According to the Federal Government of Canada, debt cannot be pursued after 6 years.
Based on which province you live in, the statute of limitations will vary, typically ranging anywhere from 2 to 10 year.
How long can you legally be chased for a debt in Canada?
In Canada, the statutes of limitations – the laws that limit your ability to sue after an event – vary by province. In some provinces and territories it is up to six years after any of these: The date an unsecured debt was incurred; the last payment made against it; or.
How long can creditors pursue a debt in BC?
In British Columbia, a judgment is valid for ten years, as per their Limitations Act (linked above). A judgment for possession of land, a debt owed from collateral, or other very specific circumstances, the Limitations Act states there is no limit to recourse, and is laid out within the law.
Does debt go away after 7 years in Canada?
Debt does eventually disappear from your credit history, in most cases. Equifax and TransUnion only keep record of delinquent amounts for six to seven years from the last payment or default date, according to CreditCards.com Canada. (Eaton’s, the famous Canadian retailer, went bankrupt in 1999.)
How long can creditors pursue a debt?
Each state has a law referred to as a “statute of limitations,” which spells out the time period during which creditors or collectors may sue borrowers to collect debts. In most states, they run between 4-6 years after the last payment was made on the debt.