Maryland Statute of Limitations on Debt
Maryland applies a three-year statute of limitations to most consumer debt types. This is one of the shorter windows in the country, giving collectors less time to pursue legal action on unpaid accounts.
| Debt Type | Statute of Limitations | |---|---| | Credit card debt (open account) | 3 years | | Medical debt | 3 years | | Auto loans (written contract) | 3 years | | Personal loans (written contract) | 3 years | | Oral contracts | 3 years | | Promissory notes | 3 years |
The three-year clock runs from the date of default or last payment. After expiration, collectors cannot obtain a judgment in Maryland court. The debt may still appear on your credit report for seven years from the original delinquency date.
Important: Maryland courts have held that partial payments or written acknowledgments can restart the SOL. Handle old accounts carefully.
Maryland-Specific Consumer Protections
Maryland Consumer Debt Collection Act (MCDCA, Md. Code Ann., Com. Law § 14-201 et seq.) Maryland's MCDCA is one of the strongest state-level debt collection laws in the country. It applies to original creditors as well as third-party collectors — closing the loophole that exists under the federal FDCPA. Violations include: attempting to collect an amount not authorized by the agreement, using threatening or obscene language, and falsely representing the debt. Consumers can sue for actual damages plus $500 per violation.
Maryland Consumer Protection Act (MCPA) Maryland's MCPA broadly prohibits unfair and deceptive trade practices. It covers credit-related deception and gives consumers a private cause of action with attorney's fees.
Maryland Wage Lien Protection Maryland limits the percentage of wages subject to garnishment. For consumer debts (not child support or taxes), Maryland caps garnishment at 25% of disposable earnings — consistent with federal law — but courts can reduce this further on a hardship showing.
Maryland 2023 Medical Debt Legislation Maryland passed legislation limiting medical debt collection practices and credit reporting for patients at qualifying facilities. Hospitals must now exhaust financial assistance options before sending accounts to collection.
How to File a Complaint in Maryland
Maryland Attorney General's Office — Consumer Protection Division
- Website: oag.state.md.us/consumer
- Phone: (410) 528-8662 or 1-888-743-0023
- Online complaint form available
Maryland Office of Financial Regulation
- Website: dllr.state.md.us/finance
- Phone: (410) 230-6100
- For complaints about licensed debt collectors and financial services
Federal Rights That Apply Regardless of State
- Fair Credit Reporting Act (FCRA): Dispute inaccurate items; bureaus have 30 days to investigate.
- Fair Debt Collection Practices Act (FDCPA): Federal collector standards, supplemented by MCDCA.
- Fair Credit Billing Act (FCBA): Billing error protections.
File at consumerfinance.gov/complaint.
Your First Action Step
Maryland's three-year SOL is short, and the MCDCA covers original creditors — a significant advantage. If your original credit card company or hospital is violating collection standards, you have a state law claim under the MCDCA. Start by pulling your credit reports at annualcreditreport.com and documenting every collection account. Dispute inaccuracies in writing by certified mail, and consult a Maryland consumer attorney if you're facing harassment from any creditor or collector.