Debt Relief in Ohio

Debt relief options for Ohio residents

If you live in Ohio and are behind on credit cards, personal loans, medical bills or collection accounts, there are four main ways out. Each one fits a different situation, and none of them is a government program. There is no state-run debt settlement program in Ohio; companies that advertise an “Ohio debt relief program” are offering a private service, and you should compare them the same way you would any other.

Debt settlement

A debt settlement company negotiates with your creditors to accept less than the full balance. You save into an account you control, and settlements are made once enough has built up. It can resolve unsecured debt in a few years, but it usually means falling behind on the accounts first, which hurts your credit, and creditors are not required to agree. Read more on our debt settlement page.

Credit counseling and a debt management plan

A nonprofit credit counseling agency can set up a debt management plan: one monthly payment, often at a reduced interest rate, that repays the full balance over three to five years. It works best if you can afford the full balance with lower interest.

A debt consolidation loan

A new loan pays off your existing debts, leaving one payment. It only helps if the new rate is lower than what you pay now, and it usually needs good enough credit to qualify. See how consolidation works.

Bankruptcy

Ohio residents file bankruptcy in federal court, in either the Northern or the Southern District of Ohio depending on where you live. Chapter 7 can discharge many unsecured debts; Chapter 13 sets up a court-supervised repayment plan. Talk to a bankruptcy attorney about whether either one fits.

Not sure which applies to you? The five options you have compares them side by side.

Ohio statute of limitations on credit card debt

In Ohio, a creditor has six years to sue over a written contract, which includes most credit card agreements (Ohio Revised Code § 2305.06). The six-year limit took effect on June 16, 2021; before that it was eight years. Accounts that went unpaid before that date may be covered by the older rule, depending on when the debt became due.

The statute of limitations only limits lawsuits. It does not erase the debt, and it is separate from how long the account stays on your credit report, which is set by federal law. Our guide to what happens to a charged-off debt explains the difference.

If an Ohio creditor sues you

Most consumer debt lawsuits in Ohio are filed in a municipal or county court near where you live. If you are served, do not ignore it: under the Ohio Rules of Civil Procedure you generally have 28 days from service to file an answer, and a creditor who gets a default judgment can then ask the court for a wage garnishment or a bank attachment. Federal law caps most consumer-debt wage garnishments at 25% of your disposable earnings. If you have been served, contact an attorney right away, and if the debt is one you are working to settle, tell your settlement company immediately.

How DebtHelp works with Ohio clients

DebtHelp, Inc. is based in Columbus and has helped clients resolve debt since 2006. A debt specialist reviews your unsecured debts, explains which of the options above fit, and, if settlement is the right choice, negotiates with your creditors for you.

• No upfront fees. DebtHelp does not charge any fee until a debt has been settled and you have made at least one payment under that settlement.
• You control the money. Your savings sit in a dedicated account in your name, and you can withdraw from the program at any time.
• The trade-offs are real. Debt settlement can negatively affect your credit, not all debts are eligible, creditors are not required to settle, and results vary.

In Ohio, DebtHelp, Inc. holds a $50,000 surety bond and is registered as a telephone solicitor. Every state we serve is listed on our state licenses page.

Frequently asked questions