Dealing With Debt Collectors in Texas (2026)
Reviewed by DocDraft Legal Team · Texas · Last updated August 13, 2026
Texas gives consumers some of the strongest protection in the country against a debt collector actually taking your income. The statute of limitations on most debt, including credit card and open-account balances, is four years under Texas Civil Practice and Remedies Code section 16.004. Texas also has its own collection statute, the Texas Debt Collection Act (Finance Code Chapter 392), which reaches original creditors collecting their own debts, not just outside agencies. Most importantly, current wages for personal services generally cannot be garnished for a consumer debt under Texas Constitution article 16, section 28. This page explains the Texas limitations periods by debt type, the wage and property exemptions a collector cannot reach, collector bonding rules, and how to complain to the Texas Attorney General.
What is the statute of limitations on debt in Texas?
Most debt in Texas has a four-year statute of limitations under Texas Civil Practice and Remedies Code section 16.004, including credit card debt, open accounts, and written contracts. The clock generally runs from the last payment or last activity. After four years a collector can still ask, but cannot win a lawsuit if you raise the deadline.
Can debt collectors garnish my wages in Texas for a credit card debt?
Generally no. Under Texas Constitution article 16, section 28, current wages for personal services cannot be garnished for a consumer debt like a credit card or medical bill. Wage garnishment in Texas is limited to court-ordered child support, spousal maintenance, taxes, and student loans, not ordinary consumer judgments.
How do I stop a debt collector from contacting me in Texas?
Send a written cease-communication letter. Under the federal FDCPA and the Texas Debt Collection Act (Finance Code Chapter 392), once the collector receives it the collector must stop contacting you except to confirm it is stopping or to name a specific legal remedy. Send it by certified mail and keep proof of delivery.
What can a debt collector not legally do in Texas?
Under the Texas Debt Collection Act (Finance Code 392.301 through 392.304) and the FDCPA, a collector cannot threaten arrest, use profane or harassing language, misrepresent the amount or legal status of a debt, or falsely threaten to seize exempt wages or property. In Texas these duties also bind original creditors, not only outside agencies.
Texas has its own collection statute and a strong wage-garnishment ban
Texas layers its own Texas Debt Collection Act (Finance Code Chapter 392) on top of the federal FDCPA, and the state statute is broader in a key way: it applies to creditors collecting their own debts, so an original bank or lender, not just a third-party agency, must follow its prohibitions on threats, harassment, and false representations. A third-party debt collector or credit bureau also generally may not collect in Texas unless it has filed a $10,000 surety bond with the Texas Secretary of State under Finance Code section 392.101. The single most protective Texas rule is on collection itself: current wages for personal services cannot be garnished for consumer debt under Texas Constitution article 16, section 28, so even a collector holding a judgment usually cannot reach your paycheck. Texas also exempts your homestead and up to $100,000 of personal property for a family or $50,000 for a single adult under Property Code section 42.001. Consumers can report abusive collection to the Office of the Texas Attorney General Consumer Protection Division, which runs a complaint portal and a hotline at 1-800-621-0508.
Relevant Laws
Texas Statute of Limitations on Debt, Tex. Civ. Prac. & Rem. Code 16.004
Sets a four-year limitations period for actions on debt, open or stated accounts, and most written contracts in Texas, including credit card balances. The cause of action generally accrues on the last payment or when the parties' dealings cease. After four years the debt is time-barred if the limitations defense is raised.
Texas Debt Collection Act, Tex. Fin. Code Chapter 392
The state's own debt-collection statute. It prohibits threats, coercion, harassment, and false or misleading representations (sections 392.301-392.304), requires third-party collectors to post a $10,000 bond with the Secretary of State (section 392.101), and applies to original creditors collecting their own consumer debts, not just outside agencies.
Texas Wage and Property Exemptions, Tex. Const. art. 16, sec. 28 and Tex. Prop. Code 42.001
Texas Constitution article 16, section 28 bars garnishment of current wages for personal services for consumer debt, allowing it only for support, spousal maintenance, taxes, and student loans. Property Code section 42.001 exempts the homestead and up to $100,000 of personal property for a family or $50,000 for a single adult.
Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. 1692-1692p
The core federal statute governing third-party debt collectors, which applies in Texas alongside Chapter 392. It bars harassment (1692d), false representations (1692e), and unfair practices (1692f), restricts when a collector may contact you (1692c), and creates the 30-day debt validation right (1692g).
Regional Variances
Texas statute of limitations by debt type
Written contract
Four years under Texas Civil Practice and Remedies Code section 16.004. Most signed loan agreements and written consumer contracts fall here. The period generally runs from the date of default or last payment.
Open account / credit card
Four years under Texas Civil Practice and Remedies Code section 16.004, which expressly covers actions on an open or stated account. The cause of action generally accrues on the day the dealings cease, commonly measured from the last payment or charge.
Oral contract
Four years under Texas Civil Practice and Remedies Code section 16.004, which sets a four-year period for debt actions generally. Texas does not shorten the period for an unwritten agreement to pay a debt, though proving an oral debt can be harder.
Promissory note
Generally four years. A demand note or ordinary promissory note is treated as a debt or written contract under Texas Civil Practice and Remedies Code section 16.004. Negotiable instruments governed by the Texas Business and Commerce Code (UCC article 3) can have their own accrual rules.: confirm the exact note accrual cite for a negotiable instrument.
Suggested Compliance Checklist
Read the collector's validation notice and diary the 30-day deadline
Within 5 days of first contact days after startingConfirm the collector sent the Regulation F validation notice (12 CFR 1006.34) identifying the creditor, amount, and your dispute rights. Note the date received and calendar the 30-day window to dispute under 15 U.S.C. 1692g. Also check whether a third-party collector filed the $10,000 bond required by Texas Finance Code section 392.101.
Confirm the Texas four-year statute of limitations before paying
Before any payment or settlement days after startingCheck the date of your last payment or activity against the four-year limit in Texas Civil Practice and Remedies Code section 16.004. A payment or signed acknowledgment can restart the clock on a time-barred debt, so verify the deadline before you pay, promise, or settle.
Send a written debt validation letter
Within 30 days of receiving the validation notice days after startingIf you do not recognize the debt or the amount looks wrong, mail a written dispute and request for verification within the 30-day window under 15 U.S.C. 1692g. This forces the collector to stop collecting until it mails you proof of the debt. Keep certified-mail proof of delivery.
Send a cease-and-desist letter if you want contact to stop
As soon as you decide to stop contact days after startingUnder 15 U.S.C. 1692c(c), a written cease-communication letter requires the collector to stop contacting you once received, except to confirm it is stopping or to name a specific remedy. The Texas Debt Collection Act reaches original creditors too, so this works against a bank collecting its own debt.
File a complaint with the Texas Attorney General if the collector broke the law
Within 1 year of any FDCPA violation days after startingSubmit a complaint through the Texas Attorney General consumer complaint portal at consumerprotection.texasattorneygeneral.gov or call 1-800-621-0508, and also file with the CFPB at consumerfinance.gov/complaint. Because 15 U.S.C. 1692k generally requires suit within one year, consult an attorney promptly about FDCPA and Chapter 392 remedies.
| Task | Description | Document | Days after starting |
|---|---|---|---|
| Read the collector's validation notice and diary the 30-day deadline | Confirm the collector sent the Regulation F validation notice (12 CFR 1006.34) identifying the creditor, amount, and your dispute rights. Note the date received and calendar the 30-day window to dispute under 15 U.S.C. 1692g. Also check whether a third-party collector filed the $10,000 bond required by Texas Finance Code section 392.101. | - | Within 5 days of first contact |
| Confirm the Texas four-year statute of limitations before paying | Check the date of your last payment or activity against the four-year limit in Texas Civil Practice and Remedies Code section 16.004. A payment or signed acknowledgment can restart the clock on a time-barred debt, so verify the deadline before you pay, promise, or settle. | - | Before any payment or settlement |
| Send a written debt validation letter | If you do not recognize the debt or the amount looks wrong, mail a written dispute and request for verification within the 30-day window under 15 U.S.C. 1692g. This forces the collector to stop collecting until it mails you proof of the debt. Keep certified-mail proof of delivery. | debt-validation-letter | Within 30 days of receiving the validation notice |
| Send a cease-and-desist letter if you want contact to stop | Under 15 U.S.C. 1692c(c), a written cease-communication letter requires the collector to stop contacting you once received, except to confirm it is stopping or to name a specific remedy. The Texas Debt Collection Act reaches original creditors too, so this works against a bank collecting its own debt. | cease-and-desist-letter | As soon as you decide to stop contact |
| File a complaint with the Texas Attorney General if the collector broke the law | Submit a complaint through the Texas Attorney General consumer complaint portal at consumerprotection.texasattorneygeneral.gov or call 1-800-621-0508, and also file with the CFPB at consumerfinance.gov/complaint. Because 15 U.S.C. 1692k generally requires suit within one year, consult an attorney promptly about FDCPA and Chapter 392 remedies. | - | Within 1 year of any FDCPA violation |
Frequently Asked Questions
Credit card debt in Texas is generally subject to a four-year statute of limitations under Texas Civil Practice and Remedies Code section 16.004, treated as an open account or written contract. The period generally runs from the date of your last payment or last account activity. After four years a collector cannot win a lawsuit if you raise the limitations defense in court.
A collector needs a court judgment first, and even then Texas protections are strong. Current wages are exempt from garnishment under Texas Constitution article 16, section 28, but once wages are deposited in a bank account the protection can become harder to trace. Certain funds, like Social Security and other exempt income, remain protected. An attorney can help you claim exemptions.
Yes. Unlike the federal FDCPA, which mainly covers third-party collectors, the Texas Debt Collection Act (Finance Code Chapter 392) applies to any person collecting a consumer debt, including original creditors collecting their own accounts. That means a bank or lender in Texas must also avoid threats, harassment, and false or misleading representations when collecting from you directly.
Yes. Under Texas Finance Code section 392.101, a third-party debt collector or credit bureau generally may not collect in Texas unless it has obtained a $10,000 surety bond and filed a copy with the Texas Secretary of State. Collecting without the required bond violates Chapter 392, and a consumer harmed by a violation may make a claim against the bond.
Yes. You can sue under the federal FDCPA (15 U.S.C. 1692k) generally within one year, recovering actual damages, statutory damages up to $1,000, and attorney's fees. You may also have a claim under the Texas Debt Collection Act (Finance Code Chapter 392), and violations can support a claim under the Texas Deceptive Trade Practices Act. An attorney can evaluate your options.
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