"Collections" refers to the process by which creditors try to get nonpaying debtors to pay what is owed. There are various laws in Portland, Indiana regulating the conduct of collections agences.
What if I Am Owed Money in Portland, Indiana?
If someone owes you money and declines to pay it, you have many options at your disposal. However, when it comes to collecting their debts, creditors are governed by specific consumer protection rules. Violation of these rules while attempting to collect could hurt your chances at effectively recovering your money, and/or subject you to civil penalties.
The law prevents creditors from engaging in any form of violence against the debtor in an attempt to collect. It further bars them from using abusive language or contacting third parties about the debt owed by the debtor.
You may, however, send a written demand for timely payment which lays out to the debtor clearly how much is owed. If a large amount of money is owed to you, it might be a good idea to hire a collections agency in Portland, Indiana. These agencies usually take their fee in the form of a percentage of the debt collected. You need to research agencies thoroughly however, and make sure the one you hire does not engage in illegal practices.
What if Someone Is Trying to Collect Money Against Me in Portland, Indiana?
Of course, if you owe money and have the capacity to pay it, you should do so. If the collections caller is behaving amicably, 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.
Thankfully, you have various options at your disposal in Portland, Indiana. First, you should try to contact the creditor directly, and see if some sort of agreement can be worked out. If this is unsuccessful, you can tell the collectors to stop contacting you, which may work in some instances. Of course, this doesn't make the debt go away, but it might give you a little bit of breathing room. The collectors will only be allowed to contact you to let you know that they are suing you for the money owed, or that they have stopped trying to collect the debt.
If you have hired a lawyer in Portland, Indiana, they might advise that you apply for bankruptcy. Of course, whether or not this is a good idea depends strongly on the facts of your individual case, so you should not do so unless an attorney has reviewed the facts and determined that bankruptcy is a feasible solution.
How Can a Portland, Indiana Collections Attorney Help?
If you believe that a creditor is violating the law in its effort to collect from you, you should get in touch with a Portland, Indiana attorney, since you may actually have a claim for damages against the creditor.
Also, if you're considering applying for bankruptcy, a seasoned attorney in Indiana can tell you if this is a good option, and, if it is, help you through the process.