Don't even know where to start...

[hippiemombian]

This is my first post over here. I went browsing through the old threads to try to find the answer to my questions and there was wayyy to many to peel through. So I apologize if this has already been asked before.

My DP and I are in debt! Big surprise! lol I was married before and from the time I was 18 to now (24) I have never really known how to handle fiances or anything. To say I have a lot of debt in collections is an understatement. I've decided that enough is enough and I need to start rebuilding my credit and paying off the things I owe. The problem is, I don't even know who I owe.  I usually let the bills pile up and just file them away under my "debt" section in the filing cabinet. I have bills in there from 2004. I need to know where to start. I know pulling my credit report would show what has already been reported, but I know there is more out there. Do I go through the stack of bills I have and send a letter to each of them asking my account status, or does that wake sleeping giants? Also, if it's on my credit report does it make a difference if I pay it or not? Does it still stay on there? I'm so lost on where to start that its extremely overwhelming, but I'm ready to start paying on things, I just don't know where to start.

Oh, I also don't have any credit cards, I never have. Most of my debt is old medical bills from when my girls were little with no insurance, past due utilities, phone bills etc. I have one old car loan that was repo-ed and a bill from an apartment complex from breaking a lease. I am definitely feeling the repercussions of being young and reckless now.

[kitteh]

I see that you're in central Florida, right? You should know that Florida's statute of limitations for debts is 5 years. That means that any debts that are older than 5 years don't have to be repaid and the lender can't come after you and sue you for the balance. HOWEVER, the statute of limitations begins with the last payment that was made, not from when the debt was incurred. So whatever you do, don't make any new payments on old debts until you can figure out when the last payment you made occurred. I'm pretty sure the statute of limitations applies to medical bills and other written contracts too, not just credit cards.

If I were you I'd start by looking at your credit report and starting to pay off balances that aren't past the 5 year mark. They won't be removed from your credit report, but after 7 years the negative info (late or no payment) will fall off your report.

Consumers should be aware of a practice called re-ageing of old debts. The clock on the statute of limitations may start anew if a consumer makes a payment -- even a small amount -- on a debt that has exceeded or is approaching the end of the statute of limitations. Acknowledging an old debt may also extend the time limit on potential debt collection lawsuits. Consumer advocates now advise debtors not to acknowledge old debts or debts they don't recognize as their own to avoid inadvertently resetting the clock on the statute of limitations.

Read more: http://www.creditcards.com/credit-card-news/credit-card-state-statute-limitations-1282.php#ixzz1WBv9ibwz