Unpaid Invoice or Loan
Whether it's a personal loan to a friend, an unpaid invoice for services, or money owed for goods — if someone won't pay what they owe, small claims court is designed for exactly this situation.
Typical claim amount
$200 – $10,000
Statute of limitations category
Written contract (varies by state)
See your state's small claims rules
Pick your state above to see its claim limit, deadlines, and rules — or browse all state guides.
How much to ask for
Start with the principal — the actual amount that's owed and unpaid. If your agreement spelled out interest or a late fee, you can usually add that. Some states also allow you to claim statutory interest on an overdue debt; check your state's rule for the rate and when it starts. Subtract any partial payments you've already received so your number reflects the real balance.
How to pursue this claim, step by step
- 1
Pin down the exact balance owed — start with what was lent or invoiced, add any agreed interest or late fees, and subtract anything already paid.
- 2
Gather your proof: the written agreement or IOU, invoices, texts or emails discussing the debt, and bank records showing the money moved.
- 3
Send a written demand stating the amount owed, the original agreement, and a clear deadline to pay. Send it by certified mail so you have proof.
- 4
Confirm you're still within your state's deadline to sue (the statute of limitations), which can differ for written versus verbal agreements.
- 5
File in small claims, naming the person or business that owes you by their correct legal name.
- 6
At the hearing, walk the judge through a simple timeline: the agreement, what you delivered or lent, and what's still unpaid.
Common examples
Friend or family member won't repay a personal loan
Client won't pay an invoice for completed work
Buyer won't pay for goods they received
Roommate owes money for shared expenses
Someone wrote you a bad check
Evidence you should gather
The stronger your evidence, the better your chances. Start collecting these items before you file:
Written agreement, contract, or IOU (if available)
Text messages, emails, or letters discussing the debt
Invoices you sent
Proof you delivered goods or completed services
Bank statements showing the loan or payment
Any partial payments received
Ready to take action?
A demand letter often resolves disputes before court. Our free guide shows you how to write one in minutes.
Read the demand letter guideDemand letter tip
A demand letter is especially useful for personal debts. A formal letter stating you intend to file can prompt payment — though some people will still ignore it. Include the exact amount owed, the original agreement, and a deadline to pay.
Read the demand letter guide →Court preparation tip
Written evidence is everything. If you have texts or emails where the other person acknowledges the debt, print them out. Even a casual 'I'll pay you back next week' text can be powerful evidence.
What trips people up
Having nothing in writing — even a text where they acknowledge owing you helps a lot.
Suing for a fuzzy number instead of an exact, documented balance.
Forgetting to subtract partial payments, which can undercut your credibility.
Missing your state's deadline to sue, which is often shorter for verbal agreements.
Naming the wrong party — confirm whether you're owed by a person or a business entity.
Filing deadlines by state
Your statute of limitations depends on your state. Here are some examples for this type of case:
| State | Deadline | Max claim |
|---|---|---|
| Alabama | 6 years | $6,000 |
| Alaska | 3 years | $10,000 |
| Arizona | 6 years | $5,000 |
| Arkansas | 5 years | $5,000 |
| California | 4 years | $12,500 |
| Colorado | 3 years | $7,500 |
| Connecticut | 6 years | $5,000 |
| Delaware | 3 years | $25,000 |
| District of Columbia | 3 years | $10,000 |
| Florida | 5 years | $8,000 |
| Georgia | 6 years | $15,000 |
| Hawaii | 6 years | $5,000 |
| Idaho | 5 years | $5,000 |
| Illinois | 10 years | $10,000 |
| Indiana | 10 years | $10,000 |
| Iowa | 10 years | $6,500 |
| Kansas | 5 years | $10,000 |
| Kentucky | 15 years | $2,500 |
| Louisiana | 10 years | $5,000 |
| Maine | 6 years | $10,000 |
| Maryland | 3 years | $5,000 |
| Massachusetts | 6 years | $7,000 |
| Michigan | 6 years | $7,000 |
| Minnesota | 6 years | $20,000 |
| Mississippi | 3 years | $3,500 |
| Missouri | 10 years | $5,000 |
| Montana | 8 years | $7,000 |
| Nebraska | 5 years | $7,500 |
| Nevada | 6 years | $10,000 |
| New Hampshire | 3 years | $10,000 |
| New Jersey | 6 years | $5,000 |
| New Mexico | 6 years | $10,000 |
| New York | 6 years | $10,000 |
| North Carolina | 3 years | $10,000 |
| North Dakota | 6 years | $15,000 |
| Ohio | 8 years | $6,000 |
| Oklahoma | 5 years | $10,000 |
| Oregon | 6 years | $10,000 |
| Pennsylvania | 4 years | $12,000 |
| Rhode Island | 10 years | $5,000 |
| South Carolina | 3 years | $7,500 |
| South Dakota | 6 years | $12,000 |
| Tennessee | 6 years | $25,000 |
| Texas | 4 years | $20,000 |
| Utah | 6 years | $20,000 |
| Vermont | 6 years | $10,000 |
| Virginia | 5 years | $5,000 |
| Washington | 6 years | $10,000 |
| West Virginia | 10 years | $20,000 |
| Wisconsin | 6 years | $10,000 |
| Wyoming | 10 years | $6,000 |
Frequently asked questions
Do I need a written contract to sue someone for money they owe me?
No. Verbal agreements can be enforceable, though they're harder to prove. Texts, emails, bank records, or witnesses that confirm the deal and the amount can carry a case without a formal contract.
Can I add interest or late fees to what I'm claiming?
Often yes, if your agreement provided for them. Many states also allow statutory interest on an overdue debt — check your state's rule for the rate and when it begins.
How long do I have to sue over an unpaid debt?
Your state's statute of limitations sets the deadline, and it's frequently shorter for verbal agreements than written ones. Confirm your state's window before you file.
What if they already paid me part of it?
Subtract any partial payments and sue for the remaining balance. Be ready to show the payment history so your number holds up.
Will winning guarantee I actually get paid?
No. A judgment confirms the debt, but collecting can be a separate step if the person doesn't pay voluntarily. It helps to know whether they have wages or assets to collect from.
Other case types
Security Deposit Not Returned
Your landlord won't return your security deposit
Car Accident Damage
Someone damaged your car and won't pay for repairs
Contractor or Repair Disputes
A contractor did poor work or didn't finish the job
Defective Product or Service
Something you bought doesn't work and the seller won't fix it
Breach of Contract
Someone broke a written or verbal agreement
Unpaid Rent (Landlord vs Tenant)
Your tenant owes rent and won't pay
Property Damage by Neighbor
Your neighbor damaged your property
Auto Repair Disputes
Mechanic overcharged, did bad work, or caused damage
Moving Company Damage
Movers broke or lost your belongings
Wedding Vendor Disputes
Wedding photographer, DJ, venue, or vendor didn't deliver
Bad Check or Bounced Payment
Someone paid you with a check that bounced
Pet-Related Disputes
Dog bite, vet malpractice, or pet purchase gone wrong
Roommate Disputes
Roommate owes rent, utilities, or damaged shared property
Online Purchase or Marketplace Disputes
Item never delivered, counterfeit, or not as described
Dry Cleaner or Laundry Damage
Dry cleaner ruined or lost your clothing
Travel and Airline Disputes
Airline, hotel, or travel company ruined your trip
Insurance Claim Disputes
Insurance company denied or underpaid your claim
Gym or Membership Cancellation
Gym or club keeps charging after cancellation
Towing and Vehicle Impound Disputes
Your car was illegally towed or you were overcharged
Home Appliance or Electronics Warranty
Manufacturer or retailer won't honor a warranty
Freelance or Gig Work Payment
Client won't pay for freelance or contract work you completed
Utility Billing Disputes
Overcharged by a utility company or service provider
Dental or Medical Billing Disputes
Overcharged for medical or dental services
Tenant Suing Landlord for Repairs
Landlord won't fix habitability issues in your rental
Last updated 2026-06-28.
General information to help you understand the process — not legal advice. Rules and dollar limits vary by state and change over time, so always confirm the current requirements with your court. See our Editorial Standards.
Ready to take action?
A demand letter is often the first step. Many unpaid invoice or loan disputes are resolved without ever going to court.
Read the demand letter guide