Lawsuits to collect debts are usually filed in state courts—and may be filed in small claims courts, depending on the amount of the debt and the small claims court’s jurisdictional limits (the maximum amount of a claim that can be filed in the court).
In Indiana, lawsuits to collect debts are typically filed in state courts, and the venue for such a lawsuit depends on the amount of the debt. If the debt amount is within the small claims court's jurisdictional limits, the creditor may choose to file the lawsuit in small claims court. As of the knowledge cutoff in 2023, the maximum amount that can be claimed in Indiana's small claims courts is $8,000. This limit is set to ensure that these courts handle cases that are less complex and can be resolved more quickly and with less formality than in other state courts. If the debt exceeds the jurisdictional limit of the small claims court, the lawsuit must be filed in a higher court, such as a circuit or superior court. It's important for debtors and creditors to be aware of these jurisdictional limits and the appropriate court for filing a debt collection lawsuit in Indiana.