Minnesota · Debt collection rights · Updated Oct 2026

Debt collectors in Minnesota: your rights

What debt collectors can and can't do in Minnesota, how long they have to sue, how much of your pay and bank account is protected, collector licensing, where to complain and what to do if you are sued, in plain English from official sources.

6 yearsto sue on a written contract
10–25%wage garnishment limit
Yescollector license required
Yesstate debt collection law
21 daysto answer a debt lawsuit

Your federal rights

These federal rules apply in Minnesota and every other state. Minnesota's own law, below, can add more.

  • Who the federal law covers. The Fair Debt Collection Practices Act (FDCPA) covers debt collectors who collect for someone else and companies that buy debts, not usually the original creditor collecting its own debt (15 U.S.C. 1692a(6)). Some state laws also cover original creditors.
  • A validation notice. A collector must give you a validation notice, in its first message or within 5 days after it, with the amount, the creditor and how to dispute (15 U.S.C. 1692g(a); 12 CFR 1006.34).
  • Your right to dispute. If you dispute the debt in writing within the validation period (30 days after you get the notice), the collector must stop collecting until it mails you verification (15 U.S.C. 1692g(b); 12 CFR 1006.38).
  • When collectors can contact you. No calls before 8 a.m. or after 9 p.m. your time, or at work if your employer doesn't allow it (15 U.S.C. 1692c(a)). More than 7 calls in 7 days about one debt is presumed to break the law (12 CFR 1006.14(b)(2)).
  • Telling a collector to stop. If you tell a collector in writing to stop contacting you, it must stop, except to tell you it is ending collection or will take a specific step such as a lawsuit (15 U.S.C. 1692c(c)).
  • What collectors can't do. No threats, obscene language, false statements (for example pretending to be a lawyer or the government, or threatening arrest) and no unfair practices such as collecting fees your contract doesn't allow (15 U.S.C. 1692d, 1692e, 1692f). A collector generally can't discuss your debt with your family, neighbors or employer (15 U.S.C. 1692c(b)).

Read how to dispute a debt or stop collector calls.

Minnesota law and extra protections

State law
Minnesota Collection Agencies Act
Law
Minn. Stat. §§ 332.31-332.45
Covers original creditors
No
Extra protections
  • Breaking the federal FDCPA is also a violation of Minnesota law for licensed collection agencies, debt buyers and collectors. (Minn. Stat. § 332.37(a)(12))
  • A collector may not sue you after the 6-year limit for consumer debt has run out. (Minn. Stat. § 332.37(a)(24); § 541.053)
  • A collector's first letter must say it is licensed by the Minnesota Department of Commerce. (Minn. Stat. § 332.37(a)(23))
  • Collectors may not keep using robocalls after you tell them to stop, and may not suggest that emergency health care will be withheld. (Minn. Stat. § 332.37(a)(13), (14))
  • Anyone collecting medical debt, including the original provider, may not report it to credit bureaus. (Minn. Stat. § 332C.03)
Can you sue under it?
The Collection Agencies Act does not spell out a private lawsuit. For medical debt, you can sue under Minn. Stat. § 332C.05 for actual damages, up to $1,000 per violation (adjusted for inflation), plus costs and lawyer fees, and three times that for willful and malicious violations. If a collector sues you for medical debt and you win, the court must award your costs and reasonable lawyer fees (§ 332C.04). Federal FDCPA rights also apply.
Official text
Read the law

Old debts in Minnesota

Written contracts
6 years
Open accounts and unwritten agreements
6 years
Does a payment restart the clock?
For consumer debt, once the 6 years run out, a payment, a bankruptcy discharge, or an oral or written promise to pay does not restart the clock. (Minn. Stat. § 541.053)
Law
Minn. Stat. § 541.053 (consumer debt: 6 years); § 541.05, subd. 1(1) (contracts: 6 years)
Official text
Read the law

The time limit is the statute of limitations. Once it runs out, the debt is “time-barred”: a collector must not sue or threaten to sue you, but the debt still exists. Read more about time-barred debt.

Is my debt too old? Check Minnesota's time limit

Every state limits how long a creditor or collector has to sue you over a debt. This is the statute of limitations. Choose your state, the type of debt and the date of your last payment to see the limit and an estimated end date. Nothing you type here is sent anywhere.

Credit cards count as written contracts in some states and as open accounts in others. If you are not sure, try both.

Or the date you first missed a payment, if you never paid.

Minnesota: 6 years for a written contractEnter the date of your last payment to see when the time limit ends.

An estimate from our state data, not legal advice. Your state's law and your account records decide the exact start date and the type of debt.

Wage garnishment and bank accounts in Minnesota

Wage limit
Stricter than federal, depending on weekly income: 10% of disposable earnings if weekly income is over 40 and up to 60 times the minimum wage, 15% if over 60 and up to 80 times, and 25% if over 80 times; and never more than the amount by which disposable earnings exceed 40 times the higher of the federal or Minnesota minimum wage. If your weekly income is 40 times the minimum wage or less, nothing can be garnished. (Minn. Stat. § 571.922)
Bank account
No set dollar amount is protected automatically. Money from protected sources, such as public benefits and wages deposited in the last 20 days (within limits), is exempt if you return the exemption form the bank sends you; the bank holds frozen money for 14 days. (Minn. Stat. § 551.05; § 550.37)
Law
Minn. Stat. §§ 571.922, 551.05, 550.37

Federal benefits such as Social Security, SSI and VA benefits that were directly deposited are protected in your bank account up to two months' worth (31 CFR 212.6). A creditor usually needs a court judgment before it can garnish your wages or bank account.

Property you can keep in Minnesota

Your homestead is protected up to $510,000 ($1,275,000 if mainly used for farming) (Minn. Stat. § 510.02). One motor vehicle is protected up to $10,000 ($25,000 if used by or for a person with a disability) (Minn. Stat. § 550.37, subd. 12a). Dollar amounts are adjusted for inflation every two years.

Collector licensing in Minnesota

License required
Yes
Who licenses
Minnesota Department of Commerce (collection agencies and debt buyers must be licensed; individual collectors must register)
Check a license
Official license lookup

Medical debt in Minnesota

Since the 2024 Minnesota Debt Fairness Act (Laws 2024, ch. 114, art. 3): no one collecting medical debt may report it to credit bureaus, and credit bureaus may not include it in reports (Minn. Stat. § 332C.03); providers must post their medical debt collection policy (§ 62J.806) and may not deny medically necessary care because of unpaid medical debt, though they may ask for a reasonable payment plan (§ 62J.807); you can sue for violations (§ 332C.05). Note: on October 28, 2025 the federal Consumer Financial Protection Bureau issued an interpretive rule saying that the federal Fair Credit Reporting Act generally preempts state laws that ban medical debt from credit reports (90 Fed. Reg. 48710). The state law is still on the books, but credit bureaus may argue it cannot be enforced, and courts have the final say.

If you are sued in Minnesota

Time to answer
21 days after you are served with the summons (district court)
If you don't answer
In Minnesota a lawsuit starts when you are served, and the papers may not yet be filed with the court. You still must answer within 21 days, or the collector can ask for a default judgment. (Minn. R. Civ. P. 3.01, 12.01)

Don't ignore court papers. Read what to do if a debt collector sues you.

Where to complain in Minnesota

Free help in Minnesota

Good to know in Minnesota

  • After 6 years, even a payment or a new promise does not revive a consumer debt in Minnesota. (Minn. Stat. § 541.053)
  • A Minnesota lawsuit can be served before it is filed with the court, but the 21-day answer deadline still applies. (Minn. R. Civ. P. 3.01, 12.01)
  • A spouse is not liable to a creditor for the other spouse's debts, including medical debts (Minn. Stat. § 519.05, as amended in 2024), and medical debt may not appear on Minnesota credit reports (§ 332C.03).

Changes in 2024–2026

2024 Debt Fairness Act (Laws 2024, ch. 114, art. 3): new chapter 332C on medical debt (credit reporting ban, prohibited practices, lawyer fees for consumers who win medical debt suits, private lawsuits) and new rules for providers (§§ 62J.805-62J.808); spouses no longer liable for each other's debts, including medical bills (§ 519.05); new or higher property exemptions, including a vehicle exemption of $10,000 ($25,000 for a disability-used vehicle) and new exemptions for pets, musical instruments and household tools (§ 550.37); coerced-debt protections for abuse victims expanded (§§ 332.71-332.74); tiered wage garnishment limits (§ 571.922). § 571.922 was amended again in 2025 (1st Sp. 2025, ch. 4, art. 7, § 34) and § 551.05 bank-levy forms in 2025 (ch. 18).

Free letters to send a collector

Dispute a debt and ask for proof (validation letter)

Within 30 days of the collector's validation notice.

Tell a collector to stop or limit contact

Stop all contact, writing only, or no calls at work.

Questions about debt collection in Minnesota

What is the statute of limitations on debt in Minnesota?

6 years for written contracts and 6 years for open accounts and unwritten agreements (Minn. Stat. § 541.053 (consumer debt: 6 years); § 541.05, subd. 1(1) (contracts: 6 years)).

Does paying on an old debt restart the clock in Minnesota?

For consumer debt, once the 6 years run out, a payment, a bankruptcy discharge, or an oral or written promise to pay does not restart the clock. (Minn. Stat. § 541.053)

How much of my paycheck can be garnished in Minnesota?

Stricter than federal, depending on weekly income: 10% of disposable earnings if weekly income is over 40 and up to 60 times the minimum wage, 15% if over 60 and up to 80 times, and 25% if over 80 times; and never more than the amount by which disposable earnings exceed 40 times the higher of the federal or Minnesota minimum wage. If your weekly income is 40 times the minimum wage or less, nothing can be garnished. (Minn. Stat. § 571.922)

How much money in a bank account is protected in Minnesota?

No set dollar amount is protected automatically. Money from protected sources, such as public benefits and wages deposited in the last 20 days (within limits), is exempt if you return the exemption form the bank sends you; the bank holds frozen money for 14 days. (Minn. Stat. § 551.05; § 550.37)

Do debt collectors need a license in Minnesota?

Yes. Minnesota Department of Commerce (collection agencies and debt buyers must be licensed; individual collectors must register)

Does Minnesota have its own debt collection law?

Yes: the Minnesota Collection Agencies Act (Minn. Stat. §§ 332.31-332.45). It does not cover original creditors collecting their own debts.

How long do I have to answer a debt lawsuit in Minnesota?

21 days after you are served with the summons (district court)

Does Minnesota protect people with medical debt?

Since the 2024 Minnesota Debt Fairness Act (Laws 2024, ch. 114, art. 3): no one collecting medical debt may report it to credit bureaus, and credit bureaus may not include it in reports (Minn. Stat. § 332C.03); providers must post their medical debt collection policy (§ 62J.806) and may not deny medically necessary care because of unpaid medical debt, though they may ask for a reasonable payment plan (§ 62J.807); you can sue for violations (§ 332C.05). Note: on October 28, 2025 the federal Consumer Financial Protection Bureau issued an interpretive rule saying that the federal Fair Credit Reporting Act generally preempts state laws that ban medical debt from credit reports (90 Fed. Reg. 48710). The state law is still on the books, but credit bureaus may argue it cannot be enforced, and courts have the final say.

Where can I complain about a debt collector in Minnesota?

Minnesota Attorney General's Office: https://www.ag.state.mn.us/Office/Complaint.asp · (651) 296-3353 or (800) 657-3787

Sources

Last checked: Oct 24, 2026.

Federal sources

Other states