Arkansas Fair Debt Consumer Guide
Learn about your legal rights when facing Debt Collector Problems. Research the applicable laws that could help protect you when a debt collector is attempting to seize your assets, garnish your wages or continue collection of a debt that is outside Arkansas's Statutes Of Limitations. Arkansas phone recording laws could assist you in gathering proof of the debt collector's illegal tactics; find out whether recording your debt collector's phone conversation is permitted in your state.
The Arkansas Fair Debt Collection Consumer Practices Guide summarizes Arkansas's laws on wage garnishment, property and asset seizures and state statutes of limitations on debt collection and could provide the ammunition you need to stop or limit creditors and collectors from harassing you, garnishing your wages or bank accounts, and from seizing your property through liens, thus limiting your overall financial exposure.*
This Guide does not include information concerning the FTC's Credit Practices Rule, state consumer protection laws or information regarding exemption provisions found in laws other than the state's general exemption laws and is not intended to substitute for the advice of an attorney.
Arkansas Consumer Debt Exemption Laws
If a debt collector threatens to seize your property or your assets, you could be protected under Arkansas’s Consumer Debt Exemption Laws. Read the summarized information below to learn how to protect what you own and what you cannot protect from seizure. You could significantly strengthen your bargaining position with debt collectors by knowing your rights under Arkansas Debt Exemption Law!
Arkansas Code
Arkansas has opted out of federal bankruptcy exemptions. Arkansas Code Annotated § 16-66-217.
Wages: Arkansas Code Annotated § 16-66-208.
Homestead: Arkansas Constitution article. 9, §§ 3, 4, 5; Arkansas Code Annotated §§ 16-66·210, -212, -218.
Tangible personal property: Arkansas Constitution article 9, §§ 1, 2; Arkansas
Code Annotated §§ 16-66-218, ·219, -220.
Benefits, retirement plans, insurance, judgments, and other intangibles:
Arkansas Code Annotated §§ 16-66-209, -218, -220.
Arkansas Debt Statutes of Limitation
Your debt may have expired under Arkansas’s Statutes of Limitations, and may be considered uncollectible. Read the summary below to see the length of time certain types of debt can continue to be collected under the Arkansas Debt Statutes of Limitations, don’t let a collector threaten to take you to court over an expired debt.
Arkansas Debt Statutes of Limitations
Written contracts: 5 years, NOTE: Partial payment or written acknowledgement of default stops this statute of limitations. (A.C.A. 16-56-111)
Contracts not in writing: 3 years, (A.C.A. 16- 56-105)
Breach of any contract for the sale of goods covered by the UCC: 4 years, (A.C.A. 4-2- 725)
Medical debts: 2 years from date services were performed or provided or from the date of the most recent partial payment for the services, whichever is later. (A.C.A. §16-56-106)
Negligence actions: 3 years after the cause of action. (A.C.A. § 16-56-105)
Arkansas Wage Garnishment Procedural Requirements
Wage garnishment doesn’t mean a debt collector or creditor is entitled to take all your money. Under Arkansas’s Wage Garnishment Laws, there are limits and protections on just how much can be taken from your paycheck.
Read the summary below to learn your garnishment rights under Arkansas law.
Arkansas Wage Garnishment Procedural Requirements
In all such actions where the plaintiff has obtained judgment, he may sue out a writ of garnishment setting forth the judgment and shall proceed in the manner directed for the enforcement and collection thereof. The plaintiffs in all cases of garnishment may also have an attachment against the property of the garnishee, who is made a defendant thereto, by stating in his affidavit one or more of the grounds for attachment and the amount for which the garnishee is indebted to the principal debtor, and by executing bond to the garnishee. Ark. Code Ann. _ 16110102.
The order of attachment shall be executed by the sheriff or other officer without delay by delivering a copy of the order, with a notice specifying the debt attached, to the person owing it. The sheriff shall deliver copies to and summon such persons as garnishees as the plaintiff may direct. It shall be the duty of every person to whom the sheriff shall apply therefor, to furnish him with the amount of the debt owing to the defendant, whether due or not. A failure to perform his duty may be punished by the court as contempt. Ark. Code Ann. _ 16110111.
The sheriff shall not, in executing an order of attachment upon personal property held by the defendant jointly or in common with another person, take possession of the property until there has been executed a bond to the other person, by one or more sufficient sureties of the plaintiff, to the effect that he will pay to the person the damages he may sustain by the wrongful suing out of the order. Ark. Code Ann. _ 16110113.
Each garnishee summoned shall appear. The appearance may be in person or by affidavit of the garnishee filed in court disclosing truly the amount owing by him to the defendant, whether due or not, at or after the service of the order of attachment. Where a garnishee appears in person, he may be examined on oath. If it is discovered on the examination that, at or after the service of the order of attachment upon him, he was indebted to the defendant, the court may order the payment or security for the payment of the amount owing by the garnishee, into the court, or to such person as it may direct. That person shall give bond, with security for the amount owing, or the court may permit the garnishee to retain the amount owing, upon the execution of a bond with one or more sufficient sureties, to the effect that the amount shall be paid or the property shall be forthcoming, as the court may direct. The court may, on motion of the plaintiff, compel the appearance in person, and examination, of any garnishee by process, as in cases of contempt. Where a garnishee makes a default by not appearing, the court may hear proof of any debt owing by him to the defendant and make such order in relation thereto, as if what is so proved had appeared on the examination of the garnishee. Ark. Code Ann. _ 16110127.
The garnishee may pay the money owing to the defendant by him to the sheriff having in his hands the order of attachment or into the court. The garnishee shall not be subjected to costs beyond those caused by his resistance of the claim against him. In fact, if he discloses the true amount owing by him and pays the amount owing according to the order of the court, he shall be allowed his costs. Ark. Code Ann. _ 16110129.
Upon the service of a summons upon any garnishee or after his failure to make a disclosure satisfactorily to the plaintiff, the latter may proceed in an action against him by filing a complaint verified as in other cases and causing a summons to be issued upon it. Thereupon, the proceeding may be had as in other actions and judgment may be rendered in favor of the plaintiff to subject the property of the defendant into the hands of the garnishee, or for what shall appear to be owing to the defendant by the garnishee. The judgment may be enforced by execution or other proper means. Ark. Code Ann. _ 16110133.
Interest Rate at which Judgments Accrue Interest on any judgment entered by any court or magistrate on any contract shall bear interest at the rate provided by the contract or ten percent per annum, whichever is greater, and on any other judgment at ten percent per annum, but not more than the maximum rate permitted by law. Ark. Code Ann. _ 1665114.
Arkansas (Debt Collector) Call Recording Law
Under Arkansas State and Federal Call Recording Laws, you could record the actual recorded conversation with a debt collector in your efforts to stop debt collectors from calling! Arkansas is a one party consent state, meaning only the permission of one person on the call is necessary to record. YOU ALONE can be considered the one party to give consent, thus you do not need a debt collectors permission to record the phone conversation in the state of Arkansas.
Research and find additional information about Federal Call Recording Laws and learn what call recording procedures are legal in other states.
