What Is Debt Collection in Montgomery, Alabama?
"Collections" is the process by which creditors attempt to get nonpaying debtors to pay the money they owe. There are a large number of laws in Montgomery, Alabama governing the tactics that collection agencies can and cannot do.
What if I Am Owed Money in Montgomery, Alabama?
If you are owed money and the debtor refuses to pay, you have some options at your disposal. However, you must tread lightly when it comes to collecting your debts. Creditors and collectors are governed by strict consumer protection rules. Violating these rules can hurt your chances of recovering what you are owed, and even subject you to civil or criminal penalties.
For example, it should go without saying that creditors are not allowed to use threatened or actual violence when trying to collect. They are also not authorized to use abusive language to the debtor, or contact a third party about the debt.
What you can do, however, is send an invoice of the debt to the debtor, along with a firm (but civil) demand for timely payment. If the debt is considerable, you might also want to hire a collection agency in Montgomery, Alabama. You should make sure that any agency you hire is dependable, and has not been cited for violations of the laws governing collections.
What if Someone Is Trying to Collect Money Against Me in Montgomery, Alabama?
Of course, if you owe money and have the ability to pay it, you should do so. If the collections caller is behaving cordially, you should do the same. In any case, it is never a good idea to ignore the issue, because that will definitely not make it go away.
Fortunately, you have some options in Montgomery, Alabama. First of all, you should try to contact the creditor directly, and see if something can be worked out. If this doesn't work, you can demand that the collection agency stop contacting you by phone. When this happens, they are not authorized to contact you further. This, of course, doesn't make the debt go away, but if the calls are becoming unbearable, it might buy you a little bit of time. Usually, when this happens, the creditor gives up on extra-judicial collections, and files a lawsuit against the debtor.
If you have hired a lawyer in Montgomery, Alabama, they might advise that you file for bankruptcy. Of course, whether or not this is a good idea depends heavily on the facts of your individual case, so you should not do so until an attorney has reviewed the facts and determined that bankruptcy is a feasible solution.
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How Can a Montgomery, Alabama Collections Attorney Help?
If you think that the collection agency is violating the law in its attempts to collect, you should probably call a Montgomery, Alabama attorney, since such behavior on the part of the creditor might actually give you a claim for damages against it.
If you are thinking about filing for bankruptcy, a good lawyer in Alabama can help you with that process, too.