Arizona Statute of Limitations on Debt: 6 Years for Credit Cards, 3 Years for Oral Debts

A statute of limitations (SOL) is a legal deadline: if a creditor waits too long to sue, the law gives you a complete defense. In Arizona, the applicable SOL depends on the type of debt. The key statutes are A.R.S. § 12-548 (written contracts and credit cards, 6 years) and A.R.S. § 12-543 (oral debts and open accounts, 3 years). But knowing the deadline is only half the battle — you must actively raise this defense in your Answer, or you waive it.

The 6-year rule: written contracts and credit cards

Under A.R.S. § 12-548(A)(1), creditors have 6 years to sue on a written contract. Under A.R.S. § 12-548(A)(2), credit card debt is also covered by the same 6-year period. This covers the majority of consumer debt collection cases — credit cards, personal loans with a signed agreement, and most retail installment contracts.

The 3-year rule: oral debts and open accounts

Under A.R.S. § 12-543(1), the limitations period for oral contracts (debts made without any written agreement) is 3 years. Under A.R.S. § 12-543(2), open accounts and stated accounts are also limited to 3 years. These apply to informal debts that were never put in writing.

Arizona's choice-of-law protection

Many credit card agreements contain a clause choosing the law of a different state — often one with a shorter limitations period. Under A.R.S. § 12-548(B), when Arizona's limitations period conflicts with another state's for the debt, Arizona's 6-year period controls — so a creditor generally cannot import a shorter out-of-state deadline by burying a choice-of-law clause in the terms.

When does the clock start?

The SOL clock generally starts from the date of default — the date of the first payment you missed and did not cure. Arizona courts generally look to this first uncured missed payment as the accrual date. Collectors sometimes argue for a later start date, such as the charge-off date (when the original creditor wrote the debt off as a loss), which would give them more time to sue. The correct accrual date is a fact-specific question — if the date is in dispute, consult a licensed Arizona attorney.

SOL is an affirmative defense — you must raise it

This is the most important point about time-barred debt: a court will not apply the statute of limitations on your behalf. Even if a debt is clearly past the deadline, if you do not file a written Answer raising the SOL as an affirmative defense, the collector can still get a default judgment. You must plead the defense in writing, in your Answer — or it is waived.

What time-barred means — and what it does NOT mean

• It does mean: A time-barred-debt defense, if raised in your Answer and accepted by the court, may get the lawsuit dismissed — regardless of whether the underlying debt was real.
• It does NOT mean the debt disappears. The underlying debt still exists. The creditor simply cannot win a court judgment to collect it after the SOL has run.
• It does NOT stop collection calls. Collectors can still attempt to collect a time-barred debt by phone or letter, within FDCPA limits. What changes is their ability to win in court.
• It does NOT affect your credit report on a separate timeline. Negative information generally stays on a credit report for 7 years from the first date of delinquency under federal law — an entirely separate clock.

Partial payments and SOL revival — proceed with caution

A.R.S. § 12-508 provides that a written acknowledgment of a debt, signed by the debtor, can revive a claim even after the SOL has run — that signed written acknowledgment is the main way an expired Arizona debt is revived. For credit-card debt, the Arizona Supreme Court held in Mertola, LLC v. Santos (2018) that a partial payment does NOT restart the limitations clock — only a payment that fully cures the default and brings the account current changes the analysis. Still, do not pay anything on an old debt before talking to a licensed Arizona attorney, and never sign anything acknowledging the debt, because a signed acknowledgment can revive it.

The FDCPA and time-barred debt

Debt collectors are subject to the federal Fair Debt Collection Practices Act (FDCPA). A collector who threatens to sue on a debt they know — or should know — is time-barred may be violating the FDCPA. Whether a specific threat or lawsuit crosses that line is fact-specific and depends on the circumstances. If you believe a collector has sued on a time-barred debt or made unlawful threats, consult a licensed attorney about a possible FDCPA claim.