June 3, 2025

Arkansas Debt Collection Laws: A Simple Guide

Key rules creditors and consumers should know.

Debt collection is a necessary part of doing business, but it’s also highly regulated. Whether you're a creditor looking to recover overdue balances or a consumer navigating your rights, understanding Arkansas debt collection laws is key to a fair and legal process.

This simple guide breaks down what you need to know about collecting debts in Arkansas—from the legal framework to best practices and limitations. We’ll also show how a professional agency like Advanced Collection Bureau (ACB) stays compliant while maximizing recovery for landlords, healthcare providers, and businesses.

Federal vs. State Laws: What Applies in Arkansas?

Debt collection in Arkansas is governed by both federal and state laws. At the federal level, the Fair Debt Collection Practices Act (FDCPA) sets the baseline for how third-party collectors must behave. This includes bans on harassment, misrepresentation, and unfair practices.

Arkansas does not have a separate, extensive state collection statute, but collectors must still comply with general business and consumer protection laws under the Arkansas Deceptive Trade Practices Act. Additionally, all collectors operating in the state must comply with federal rules, and licensed agencies must register with the Arkansas State Board of Collection Agencies.

For an overview of FDCPA rules, check out Understanding the Fair Debt Collection Practices Act Definition.

Time Limits: The Statute of Limitations in Arkansas

In Arkansas, the statute of limitations on most types of debt is three to five years, depending on the nature of the agreement:

Written contracts: 5 years
Oral agreements: 3 years
Promissory notes: 3 to 5 years
Open accounts (like credit cards): 3 years

Once the statute of limitations has passed, the debt is considered “time-barred,” and collectors cannot sue for it, though they may still attempt to collect—provided they disclose the status correctly.

This makes timely action essential for landlords and business owners. Waiting too long can limit your legal options.

For related timing insights, see How Long Should You Wait Before Sending an Account to Collections?.

Licensing and Registration

In Arkansas, collection agencies must be licensed to operate legally. This includes both in-state and out-of-state companies that collect from Arkansas residents. If you’re a business hiring a debt collection agency, be sure to verify that your partner is properly licensed.

At ACB, we maintain full compliance across all 50 states, including Arkansas, ensuring your collections are not only effective but fully legal.

Prohibited Practices in Arkansas

Collectors working in Arkansas must avoid practices that fall under deceptive or unfair conduct. Prohibited actions include:

Calling at odd hours (before 8 a.m. or after 9 p.m.)
Threatening legal action they don’t intend to take
Contacting third parties other than attorneys or credit bureaus
Misrepresenting the amount or status of the debt

These rules align with FDCPA guidelines and are enforced by both federal regulators and state consumer protection offices.

To learn more about legal compliance, visit Compliance in Debt Collection: Staying on the Right Side of Florida Laws—a useful read even beyond Florida’s borders.

How ACB Handles Arkansas Collections the Right Way

Advanced Collection Bureau offers Arkansas businesses a full-service approach to collections without crossing legal lines. Here’s what makes us a trusted partner:

Skip Tracing: We locate debtors who’ve moved or changed contact info.
Credit Reporting: We report debts to major bureaus twice a month.
Contingency Model: You don’t pay unless we collect.
U.S.-Based Staff: All calls and operations are handled domestically.
Legal Oversight: Our methods align with FDCPA and Arkansas regulations.

To see how our approach delivers results, visit Improving Debt Recovery on Hard-to-Collect Accounts.

Conclusion: Arkansas Law Doesn’t Have to Be Complicated

When it comes to collecting debts in Arkansas, the most important tools are knowledge and compliance. Understanding statutes, respecting consumer rights, and acting swiftly all make the process smoother and more successful.

Whether you're a landlord, clinic, or business owner, ACB can help you navigate Arkansas debt collection laws confidently—recovering more while staying fully compliant.

Need help collecting debts in Arkansas? Let’s talk. Work with ACB today.

‍

Recover More.
Stress Less.

Unpaid debts should not slow down your business.

We specialize in professional and compliant debt recovery, helping you maximize recoveries while maintaining strong customer relationships.

Our risk-free, results-driven approach ensures you only pay when we collect.

Get in Touch

Debt collection is a necessary part of doing business, but it’s also highly regulated. Whether you're a creditor looking to recover overdue balances or a consumer navigating your rights, understanding Arkansas debt collection laws is key to a fair and legal process.

This simple guide breaks down what you need to know about collecting debts in Arkansas—from the legal framework to best practices and limitations. We’ll also show how a professional agency like Advanced Collection Bureau (ACB) stays compliant while maximizing recovery for landlords, healthcare providers, and businesses.

Federal vs. State Laws: What Applies in Arkansas?

Debt collection in Arkansas is governed by both federal and state laws. At the federal level, the Fair Debt Collection Practices Act (FDCPA) sets the baseline for how third-party collectors must behave. This includes bans on harassment, misrepresentation, and unfair practices.

Arkansas does not have a separate, extensive state collection statute, but collectors must still comply with general business and consumer protection laws under the Arkansas Deceptive Trade Practices Act. Additionally, all collectors operating in the state must comply with federal rules, and licensed agencies must register with the Arkansas State Board of Collection Agencies.

For an overview of FDCPA rules, check out Understanding the Fair Debt Collection Practices Act Definition.

Time Limits: The Statute of Limitations in Arkansas

In Arkansas, the statute of limitations on most types of debt is three to five years, depending on the nature of the agreement:

Written contracts: 5 years
Oral agreements: 3 years
Promissory notes: 3 to 5 years
Open accounts (like credit cards): 3 years

Once the statute of limitations has passed, the debt is considered “time-barred,” and collectors cannot sue for it, though they may still attempt to collect—provided they disclose the status correctly.

This makes timely action essential for landlords and business owners. Waiting too long can limit your legal options.

For related timing insights, see How Long Should You Wait Before Sending an Account to Collections?.

Licensing and Registration

In Arkansas, collection agencies must be licensed to operate legally. This includes both in-state and out-of-state companies that collect from Arkansas residents. If you’re a business hiring a debt collection agency, be sure to verify that your partner is properly licensed.

At ACB, we maintain full compliance across all 50 states, including Arkansas, ensuring your collections are not only effective but fully legal.

Prohibited Practices in Arkansas

Collectors working in Arkansas must avoid practices that fall under deceptive or unfair conduct. Prohibited actions include:

Calling at odd hours (before 8 a.m. or after 9 p.m.)
Threatening legal action they don’t intend to take
Contacting third parties other than attorneys or credit bureaus
Misrepresenting the amount or status of the debt

These rules align with FDCPA guidelines and are enforced by both federal regulators and state consumer protection offices.

To learn more about legal compliance, visit Compliance in Debt Collection: Staying on the Right Side of Florida Laws—a useful read even beyond Florida’s borders.

How ACB Handles Arkansas Collections the Right Way

Advanced Collection Bureau offers Arkansas businesses a full-service approach to collections without crossing legal lines. Here’s what makes us a trusted partner:

Skip Tracing: We locate debtors who’ve moved or changed contact info.
Credit Reporting: We report debts to major bureaus twice a month.
Contingency Model: You don’t pay unless we collect.
U.S.-Based Staff: All calls and operations are handled domestically.
Legal Oversight: Our methods align with FDCPA and Arkansas regulations.

To see how our approach delivers results, visit Improving Debt Recovery on Hard-to-Collect Accounts.

Conclusion: Arkansas Law Doesn’t Have to Be Complicated

When it comes to collecting debts in Arkansas, the most important tools are knowledge and compliance. Understanding statutes, respecting consumer rights, and acting swiftly all make the process smoother and more successful.

Whether you're a landlord, clinic, or business owner, ACB can help you navigate Arkansas debt collection laws confidently—recovering more while staying fully compliant.

Need help collecting debts in Arkansas? Let’s talk. Work with ACB today.

‍

Recover More.
Stress Less.

Unpaid debts should not slow down your business.

We specialize in professional and compliant debt recovery, helping you maximize recoveries while maintaining strong customer relationships.

Our risk-free, results-driven approach ensures you only pay when we collect.

Get in Touch

Collect More.
Pay Less.

You don't pay anything until we collect.

We report to credit bureaus twice as often as most agencies, ensuring faster recoveries. Plus, we never charge interest on debts - just simple, transparent collections.

Our contingency-based model means you do not pay unless we collect.

Let's Get Collecting

More Simplicity.
Less Surprises.

No confusing contracts. Just good debt recovery.

We believe in complete transparency. That’s why we report to credit bureaus twice as often as most agencies, never charge interest on debts, and keep our contingency fee model simple -
if we don’t collect, you don’t pay.

Debt recovery should be hassle-free. With us, you get results without the guesswork.

Contact Us