Do I Need A Collection Attorney?

When money is lent out, a track of the money given on credit needs to be maintained to prevent discrepancies in receiving the debt back. A collection attorney does keep track of all the debtors and ensures the timely remittance of the funds. If the debtor fails to pay it back as per the agreement, the collections attorney hired can take the appropriate legal action.

The New York collection attorneys are experts in ensuring timely paybacks of debts to avoid loss of any sort. A collection attorney can:

  • Debtor-Debt Evaluation: Before collecting the amount due, the legal aspect of the claim and the statute governing the claim needs to go under thorough evaluation and for any limitations or weak points in the documentation provided.
  • Carry Out Negotiations: The collection attorney helps ensure a reasonable and systematic debt repayment plan. Such repayment plans are opted for in case of debtors declared to be bankrupt or are bankrupt.
  •  Legal Lawsuits: If there is any dispute, a suit can be filed after a demand letter has been sent and the statutory dispute period comes to an end.
  • Pursuit of Debt: As the need may be, legal verdicts against the debtor can be used to obtain the said debt, and this can be done by a lien of the property or garnishment of the debtors’ earnings.
  • Case Goes To Court: If the claim to collect debt back goes to court, a collection attorney needs to be hired to help guide the matter positively.
  • Demand Letters: To avoid involving the court in the settlement, sending a demand letter to the defaulter is advisable to recoup the said amount. A collection attorney can help write a persuasive demand letter.
  • Debt is $5,000 or Greater: If the amount in question is $5,000 or more, it is advisable to opt for a collection attorney. Keep in mind that the amount recouped should be more than the fees paid to recoup said amount. 

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