There aren’t a lot of people who know that some law firms make it point of collecting outstanding debts for various clients. In instances like this, the creditors need help with collections and send their business to a law firm.
The whole debt collection usually kicks into gear when someone (the borrower) defaults on payment owed to a creditor. Even though the creditor may have tried various routes of getting the money back, trying to get blood from a stone just didn’t work. The decision was made to use either a debt collection agency or a debt collection lawyer. On reflection, the debt collection lawyer was the ultimate choice for their ability to be versatile in the debt collections process.
Debt collection attorneys are able to help a client with things like student loan collections, credit cards being delinquent, stalled installment loan collections and consumer debt collections. After taking a good hard look at the collection file, it’s the attorney’s job to figure out which route will best achieve a collection judgment result for their client.
Like debt collection agencies, debt collection attorneys are required to meet the rules and regulations of the federal Fair Debt Collection Practice Act. The Act simply governs the actions a debt collector may take while attempting to collect on a debt. This service does not tend to come cheaply and may cost the creditor an hourly fee, one-third the amount recovered or perhaps even both. Speak to your attorney about how s/he handles these kinds of cases.
If you have any doubts about how to proceed on a collection after exhausting all your usual routes, make it a point to discuss your collection needs with a highly skilled debt collection attorney. It only makes good business sense to get some return on your initial billing, rather than have nothing to show for it in the long run. In other words, in cases like this, if you have done what you could and did not recover the outstanding debt, it’s time to spend money to recover money.
Patrick Warwick is the lead content contributor for Chicago bankruptcy firm, The Law Office of Jay F. Fortier, P.C.. To speak with a Chicago bankruptcy lawyer or learn more about creditor rights, Chicago bankruptcy, Chicago bankruptcy lawyer, Chicago bankruptcy attorney, visit Westsidebankruptcy.com