
Quoting
Mr. Knowitall
Statutes of limitation are different in every state. Statutes of limitation are normally treated as procedural, meaning that unless state law applies the foreign (out-of-state) statute of limitations via what is called a "borrowing statute", the local jurisdiction's limitations period applies. In most states that have borrowing statutes, the statute applies the shorter of the state's limitations period or, if the cause of action accrued before the defendant moved into the state, the other state's limitations period. There are also typically tolling provisions that extend the limitations period. So if you were sued in Michigan it will apply its six year limitations period unless New York has a shorter period that applies under Michigan's borrowing statute, but if you are sued in New York (where the loan and apparently cause of action originate) the limitations period may be tolled by virtue of your absence from the state. The limitations period on a loan normally runs from the later of (a) the date the money was borrowed, (b) the date the last payment was made, or (c) the due date for the first scheduled payment following the last payment actually made.