Know Your Rights: Debt Collection in Minnesota

If you owe money or a debt collector contacts you, you still have legal rights. Collectors must follow both federal and Minnesota law. Here is what you need to know.

Your Rights

1. Collectors cannot harass you. Debt collectors cannot call you before 8:00 a.m. or after 9:00 p.m. They cannot threaten you, use profanity, or call over and over to annoy you. These rules come from the federal Fair Debt Collection Practices Act (FDCPA) and Minn. Stat. § 332.37 .

2. You can demand proof of the debt in writing. Within 30 days of a collector’s first contact, you can send a written request asking them to verify the debt. They must stop collection efforts until they provide proof that you owe the money and how much you owe.

3. Certain property is protected from collection. Minnesota law protects your home (homestead exemption), household goods, clothing, furniture, appliances, and other necessities from being seized to pay a debt. See Minn. Stat. § 550.37 for a full list of exempt property.

4. You have 20 days to respond to a lawsuit. If a creditor sues you, you have 20 days after being served to file an answer with the court. If you do not respond, the court can enter a default judgment against you, which gives the creditor more power to collect.

5. You cannot be arrested for owing money. Unpaid debts are civil matters, not criminal. No one can put you in jail for owing money on a credit card, medical bill, or other consumer debt.

6. Wage garnishment is limited. If a creditor wins a judgment, they can garnish your wages, but only up to 25% of your disposable earnings. See Minn. Stat. § 571.922 .

7. Debt has a time limit. In Minnesota, the statute of limitations for most debt claims is six years. After that, a creditor cannot sue you to collect. See Minn. Stat. § 541.05 . Making a payment or acknowledging the debt in writing can restart the clock.

8. You can negotiate a payment plan or settlement. You have the right to offer a payment plan or settle the debt for less than the full amount. Get any agreement in writing before you make a payment.

What to Do

• Do not ignore a lawsuit. If you are served with court papers, file an answer within 20 days. Ignoring a lawsuit almost always makes things worse.
• Keep records of all collector contacts. Write down the date, time, and what was said for every call or letter. Save voicemails and texts.
• Know your exempt property. Before a collector can take anything, learn what is protected under Minnesota law so you can claim your exemptions.
• Send requests in writing. Use certified mail when you send a debt validation request or dispute a debt so you have proof it was received.
• Consider bankruptcy if you are overwhelmed. Bankruptcy is a legal tool that can stop collections and give you a fresh start. Talk to a lawyer or legal aid before deciding.

Important Deadlines

Deadline	What It Means
6 years	Statute of limitations for most debt claims in Minnesota — after this, a creditor cannot sue you
20 days	Time to file an answer after you are served with a debt collection lawsuit
30 days	Time to request debt validation in writing after a collector’s first contact

Get Help

For more detail: See our full guides on these topics:

Defending Against Debt Collection Lawsuits in Minnesota

A plain-language guide to understanding your rights when you are sued for a debt in Minnesota, including common defenses and the court process.

Filing for Bankruptcy in Minnesota

A plain-language guide to understanding bankruptcy options in Minnesota, including Chapter 7 and Chapter 13, exemptions, and the filing process.