"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 Merced, California governing the tactics that collection agencies can and cannot do.
What if I Am Owed Money in Merced, California?
If somebody owes you money and is refusing to pay, you have many options at your disposal. However, in doing so, you will be governed by very strict consumer protection laws that govern the collection of debts. Breaking these rules can hurt your chances at successfully collecting, and might even expose you to civil liability.
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 Merced, California. 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 Merced, California?
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.
However, you do have some options in Merced, California. First of all, you should make an effort to get in direct contact with the creditor, as opposed to the collection agency, and try to work something out. If this fails, you can tell the collections agency to stop calling you, and they normally are obliged to do so. Of course, this doesn't eliminate the debt, but it can buy you some time. You should know, however, that when you show that you are not interested in dealing with the creditors or collectors directly, they will usually resort to a lawsuit.
If you have hired a Merced, California attorney to help you through this process, he or she might advise that you declare bankruptcy. Once this occurs, creditors are legally barred from attempting to collect against the debtor. Of course, this is a major decision, and should not be made lightly.
How Can a Merced, California Collections Attorney Help?
If you think that the collection agency is violating the law in its attempts to collect, you should probably call a Merced, California 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 bankruptcy, a good California bankrutpcy attorney can help guide you through the process.