Michigan Debt Collection Laws 2026: Rights and Court Resources

The general contract period and its limits

MCL 600.5807(9) provides a six-year period for breach-of-contract money claims not covered by the statute’s other categories. This is a general starting point, not a date calculator for every consumer account. The contract, claim, accrual event and applicable exceptions need review.

Keep statements and records of payments or later agreements. A token payment does not justify an automatic conclusion about every claim’s revival or starting date. Federal student loans, taxes and existing judgments are separate from this ordinary contract rule. Michigan MCL 600.5807.

Two state frameworks: identify who is collecting

Michigan’s Occupational Code addresses licensed collection agencies, while the Regulation of Collection Practices Act addresses covered regulated persons, which can include creditors collecting their own accounts. Each has definitions and exclusions; neither makes every financial business subject to identical duties.

State rules address conduct such as misleading representations and abusive collection. Record the company’s name, the original creditor and whether the sender says it owns the account or acts for someone else. That information helps a legal adviser choose the relevant law. A suspected violation does not by itself prove a damages entitlement or eliminate the debt. MCL 339.915; MCL 445.252.

Judgments, garnishment and protected income

MCL 600.5809 generally provides a ten-year period for an action on a judgment from a court of record, with renewal procedures and other categories addressed separately. Do not confuse the original debt’s filing period with the history of a judgment already entered. MCL 600.5809.

For ordinary debts, federal law generally limits wage garnishment to the smaller of 25% of disposable earnings or the amount above 30 times the federal minimum hourly wage per week. Disposable earnings means pay after legally required deductions. Support and certain government debts use different rules. U.S. Department of Labor: wage garnishment limits.

Michigan distinguishes periodic wage garnishment from bank or other nonperiodic garnishment. A periodic writ can continue until the judgment balance is satisfied. Review the notice for objections and exemptions; a bankruptcy exemption amount is not automatically the ordinary bank-account exemption. MCL 600.4012.

Use the correct answer deadline and form

Michigan’s official summons form explains the usual timing: 21 days after personal service in Michigan, or 28 days when served by mail or outside Michigan. Different case types or orders can change the process. Read the summons rather than treating a generic number as your confirmed deadline. Michigan Courts: summons MC 01 and response timing (PDF).

Keep a copy of the answer and proof of filing and service. Explain which allegations you know, dispute or cannot verify; ask legal aid about applicable defenses. Missing paperwork from a collector is a question to investigate, not a promise of dismissal. Michigan Courts: civil answer form MC 03 (PDF).

How do I check a suspicious collection demand?

Use contact information you independently obtain for the original creditor to check whether the account and collector are genuine. Keep the demand, but do not send payment credentials or identity documents solely because an unexpected caller pressures you. A suspicious demand and an authentic court summons require different responses. Michigan Attorney General: collection and scams.

Find help for your situation

Michigan Legal Help offers self-help information and connections to legal services. The Michigan Courts website provides court information and approved forms. Check the service’s coverage and eligibility.