"Collections" refers to the process by which creditors try to get nonpaying debtors to pay what is owed. There are various laws in Grand Rapids, Michigan regulating the conduct of collections agences.
What if I Am Owed Money in Grand Rapids, Michigan?
If someone owes you money and won't pay, you have several legal options to seek repayment of your debt. However, you need to be careful in this area. There are many rules and regulations detailing what debt collectors can and cannot do. Violating these laws, even inadvertently, can harm your chances at collecting, and maybe even expose you to civil penalties.
For example, when trying to collect, creditors are not allowed to use abusive language, contact any third party regarding the debt, and of course they are not allowed to use threats of violence in an attempt to get their money.
Creditors may, however, send written demands for timely payment, along with an invoice that precisely lays out exactly what the debtor owes. If the debt is considerable, it might be worth it to hire a Grand Rapids, Michigan collection agency, which usually gets paid through a percentage of the debt collected. You should make sure, however, that the agency is dependable, and hasn't been cited for violations of consumer protection laws.
What if Someone Is Trying to Collect Money Against Me in Grand Rapids, Michigan?
If you really owe the money being sought, and you are able to pay it, you should of course do so. If the collection caller is behaving amicably, you should do the same. Even if the caller doesn't behave in an amicable manner, you should resist the urge to respond in kind, and ask to speak with a supervisor, or simply end the conversation. Whatever you do, you should never ignore the issue. This will not make the problem go away.
However, you do have some options in Grand Rapids, Michigan. 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 cease calling you, and they normally are obliged to do so. Of course, this doesn't expunge 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 Grand Rapids, Michigan attorney to help you through this process, he or she may advise that you declare bankruptcy. Once this occurs, creditors are legally barred from trying to collect against the debtor. Of course, this is a major decision, and should not be made lightly.
How Can a Grand Rapids, Michigan Collections Attorney Help?
If you think that the collection agency is violating the law in its effort to collect, you should probably call a Grand Rapids, Michigan attorney, since such behavior on the part of the creditor may actually give you a claim for damages against it.
If you are thinking about applying for bankruptcy, a seasoned lawyer in Michigan can help you with that process, too.