Arkansas debt: what you say on the phone does not restart the clock
Arkansas gives three years on open accounts and five on written contracts, and courts have split on credit cards. One useful protection: agreeing on a collection call that you owe the money does not restart the clock. A payment or something in writing can.
Free check first. If a dispute letter makes sense, it costs $29 ($19 for military, veterans, seniors and people with disabilities) with three follow-ups.
Who is asking you to pay?
Look at the company name at the top of the letter or in the caller ID.
Arkansas at a glance
- Written obligations
- 5 years (16-56-111)
- Oral, open accounts
- 3 years (16-56-105)
- Credit cards
- 3 or 5 years; courts split
- Restarts the clock
- Part payment or written acknowledgment
- Does not restart it
- A verbal admission
- Agency license
- State Board of Collection Agencies
General information about Arkansas law, with sources below. Not legal advice.
Three years or five in Arkansas
Five years for written obligations (Ark. Code 16-56-111) and three years for oral, implied or open accounts (16-56-105). Credit cards are a grey area: some Arkansas courts treat them as open accounts (three years) and others as written contracts (five).
What restarts the clock, and what does not
A partial payment or a written acknowledgment of default restarts the five-year period (16-56-111(b)). A purely verbal admission, such as on a collection call, does not revive the debt (16-56-122). So if a collector calls about an old account, do not pay or sign anything until you have checked the dates.
Whether a payment would restart the 3-year limit is covered, state by state, in our page on time-barred debt.
Limits vary a lot between states: by comparison, Georgia sets 4 years and Michigan sets 6 years for similar debts.
Our guide on how to dispute a debt with a collector applies in Arkansas, with a free sample letter.
For the court side of a Arkansas debt, from the summons to a possible judgment, see how to defend a debt collection lawsuit.
Licensing and garnishment in Arkansas
Collection agencies, including debt buyers, must be licensed by the State Board of Collection Agencies and post a surety bond. Arkansas has its own fair debt collection statute, enacted in 2009 and administered alongside the State Board.
Once an exemption from garnishment is upheld, those wages cannot be garnished again for 60 days. Wage garnishment otherwise follows the federal limit. A written dispute inside the validation period makes a collector stop until it mails verification.
If your letter comes from a national company such as Credence Resource Management or Credit Collection Services, our collector guides explain who they are and how to dispute.
Questions people ask about debt in Arkansas
What is the statute of limitations on credit card debt in Arkansas?
Three years if treated as an open account (Ark. Code 16-56-105), five if treated as a written contract (16-56-111). Courts have gone both ways.
Does admitting a debt on the phone restart it in Arkansas?
No. A purely verbal admission does not revive the debt under 16-56-122. A partial payment or written acknowledgment can.
Do debt buyers need a license in Arkansas?
Yes. Collection agencies and debt buyers must be licensed by the State Board of Collection Agencies.
Can my wages be garnished again after I win an exemption?
Not for 60 days. Once an exemption is upheld, those wages cannot be garnished again for that period.
Does Arkansas have its own fair debt collection law?
Yes, enacted in 2009 and administered alongside the State Board of Collection Agencies.