"Collections" refers to the process by which creditors attempt to get nonpaying debtors to pay what is owed. There are many laws in East Chicago, Indiana regulating the conduct of collections agences.
What if I Am Owed Money in East Chicago, Indiana?
If someone owes you money and refuses to pay it, you have many options at your disposal. However, when it comes to collecting their debts, creditors are governed by strict consumer protection rules. Violation of these rules while attempting to collect could hurt your chances at successfully recovering your money, and/or subject you to civil 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.
One thing you are allowed to do is send a written demand for immediate payment. The demand should lay out the exact amount you believe is owed, so the debtor cannot plausibly claim ignorance of that fact. If a lot of money is involved, it might be prudent to hire an East Chicago, Indiana collections agency. If you go this route, it is necessary to make sure that you hire an agency that is dependable, and follows the relevant law to the letter.
What if Someone Is Trying to Collect Money Against Me in East Chicago, Indiana?
Of course, if you owe money and have the ability to pay it, you should do so. If the collections caller is behaving civilly, 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 East Chicago, Indiana. 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 an East Chicago, Indiana 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 East Chicago, Indiana Collections Attorney Help?
If you think that the collection agency is violating the law in its attempts to collect, you should probably call an East Chicago, Indiana 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 Indiana bankrutpcy attorney can help guide you through the process.