Debts and statute of limitations
Skulder och preskription - Engelska
If you have bought a good or service from a company, the company has the right to demand payment for up to three years. After three years, the company can no longer seek legal information of their claim for money from you – the debt is statute-barred. But sometimes the statute of limitations or limitation period is extended and the party seeking payment has more time to enforce the debt. So don’t count on your debt being statute-barred.
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Statute of limitations on debts – Important to know
The limitation period can be extended. So don’t count on your debt being statute-barred.
Protest to the company if you disagree with the debt.
The limitation period is extended
If you, as an individual, have purchased a good or service from a company, the company has the right to demand payment for up to three years. After three years, the debt is statute-barred and the company can no longer claim payment from you. But this does not apply if, for example, the company has sent you new demands for payment, if you have asked for an instalment plan or paid part of the debt. In such a situation, there is a suspension of the statute of limitations and the limitation of action period is extended. This means that the company that wants to be paid has more time and you still owe the company money. So don’t count on your debts being statute-barred.
Further information about statute-baring and statute of limitations on the Swedish Enforcement Agency’s website (In Swedish)
If you dispute owing the debt
If you have received a demand for payment for a debt that you think is already statute-barred, you must write to the company that sent you the demand and explain why.
If the company can prove that they sent out dunning letters for the debt during the limitation period, the limitation period on the debt will be extended. You will still be obligated to pay.
You can always contest a demand for payment that you think is wrong.
Further information about contesting
Different types of debts have different limitation periods in the law
The limitation period differs for different types of debt. For goods and services you purchased from a company, i.e. a commercial enterprise, the limitation period is three years. The limitation period starts from the last day for payment.
Examples of common debts and statute of limitations periods:
Bank loans: limitation period of 10 years. Can be extended.
Fines: limitation period of 5 years. Not extendable.
Income taxes: limitation period of 5 years. May be extended in certain cases.
Bills and credit card debts: limitation period of 3 years. Can be extended.
Debts to municipal services: limitation period of 10 years. Can be extended.
Other consumer-related debts to the municipality: limitation period of 3 years. Can be extended.
Advice on your personal finances
All municipalities offer advice and counselling on household finances, and debt. This service is provide free of charge. A household finances and debt counsellor can help you to:
get a grip on your personal finances and provide advice on how to manage and prioritise debt
prepare a plan for household expenses
apply for debt consolidation/restructuring
provide other support before, during and after debt consolidation/restructuring
make proposals for voluntary agreements with those who you owe money to
discuss better terms with your creditors.
Source: Konsumentverket
Proofread: 19 February 2023