Can it be true that it will go away if you just ignore an old debt? Not really. You can find a few misconceptions about the Ontario Limitations Act. This weekвЂ™s Technical Tidbits version of Debt complimentary in 30 may help split the known reality from fiction.
LetвЂ™s begin with that which we know
Everyone knows that in the event that you donвЂ™t spend a financial obligation, you’re getting collection phone calls and, possibly, get wages garnisheed. Therefore yes you are able to ignore a financial obligation, however it may result in collection actions. Doing nothing is not generally an option that is good.
You donвЂ™t need to worry about wage garnishments if you donвЂ™t have a job. But that doesnвЂ™t mean it go away that you can simply ignore a debt and have.
Debts donвЂ™t just вЂњgo awayвЂќ
When you have no wages to garnishee, or no assets to seize, there many be no advantage up to a creditor or commercial collection agency agency using one to court and suing you. Therefore yes, you can simply disregard the financial obligation rather than suffer direct economic effects. Your debt did go away, nвЂ™t you nevertheless owe the funds. In case a bank or bank card company canвЂ™t take collection action against you, it is as although the financial obligation doesn’t have effect on your monetary life.