SOL on returned check

[Anonymous]

SOL in Virginia as follows:

 Enclosed please find the Notices of Deposition of Dr. Timothy McGarry, Dr Daniel Klinar and Dr. John Raff..

 Should you have any questions, please do not hesitate to call.

5 years for written contract, 3 for oral, 6 for promissory note, and 3 for open accounts.

On my CR, there is a CA (United Compucred) for a Returned Check that occurred back in 9/2005 for $52.

Is a check a written contract or promissory note? I assume promissory note but just want to double check.

My goal is to buy a home and my score at this point is 608...the minimum score required is 620. TIA!

[Anonymous]

SOL does not affect credit reporting. A collection can remain on you credit report for up to 7 1/2 years regardless of the SOL in your state. The creditor can not obtain a judgment against you after the SOL is up, but they can still report it.

[Anonymous]

I guess what I'm trying to ask is my returned check considered a promissory note or a written contract? Trying to figure out the SOL on a returned check.

[Anonymous]

I believe that a check is considered a negotiable instrument:

§ 3-104. NEGOTIABLE INSTRUMENT.

(a) Except as provided in subsections (c) and (d), "negotiable instrument" means an unconditional promise or order to pay a fixed amount of money, with or without interest or other charges described in the promise or order, if it:

(1) is payable to bearer or to order at the time it is issued or first comes into possession of a holder;

(2) is payable on demand or at a definite time; and

(3) does not state any other undertaking or instruction by the person promising or ordering payment to do any act in addition to the payment of money, but the promise or order may contain

(i) an undertaking or power to give, maintain, or protect collateral to secure payment,

(ii) an authorization or power to the holder to confess judgment or realize on or dispose of collateral, or

(iii) a waiver of the benefit of any law intended for the advantage or protection of an obligor.

(b) "Instrument" means a negotiable instrument.

(c) An order that meets all of the requirements of subsection (a), except paragraph (1), and otherwise falls within the definition of "check" in subsection (f) is a negotiable instrument and a check.

(d) A promise or order other than a check is not an instrument if, at the time it is issued or first comes into possession of a holder, it contains a conspicuous statement, however expressed, to the effect that the promise or order is not negotiable or is not an instrument governed by this Article.

Unfortunately, I do not know how this applies to your SOL. What I was trying to explain to you in my previous response was that it doesn't matter whether the SOL is 5 or 6 years as far as your credit score is concerned. You can not have it removed from your credit report just because of SOL - it can stay on there for the full 7 1/2 years.

I sincerely wish you good luck in buying your home. Unfortunately, I have learned the hard way that having a credit score within their limits doesn't guarantee a loan approval.

[llecs]

Neither. The Commonwealth of VA has a seperate line item for SOL of dishonored checks, which appears to be 3 yrs from the date of dishonor:

http://leg1.state.va.us/cgi-bin/legp504.exe?000+cod+8.3A-118

ETA....I am a slow typer. Sommery beat me to it.

[llecs]

To add, Sommery is right. SOL doesn't matter. SOL has zero to do with reporting. What matters is the 7-7.5 yr CRTP.

[Anonymous]

Thanks llecs. I learned something new today! Also, very grateful I'm not a lawyer, paralegal etc. and I don't have to decifer legalese. It gives me a headache.

[Anonymous]

A check cannot stay 7 & 1/2 years.

It stays for seven years running from the date the bank returned the check unpaid to the payee.