"Collections" refers to the process by which creditors try to get nonpaying debtors to pay what is owed. There are countless laws in Red Wing, Minnesota regulating the conduct of collections agences.
What if I Am Owed Money in Red Wing, Minnesota?
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, it should go without mentioning that creditors are not allowed to use threatened or actual violence when attempting to collect. They are also not permitted 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 substantial, you might also want to hire a collection agency in Red Wing, Minnesota. You should make sure that any agency you hire is trustworthy, and has not been cited for violations of the rules governing collections.
What if Someone Is Trying to Collect Money Against Me in Red Wing, Minnesota?
If you truly owe the money being sought, and you are able to pay it, you should of course do so. If the collection caller is behaving courteously, you should do the same. Even if the caller doesn't behave in a polite 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.
Luckily, you have some options in Red Wing, Minnesota. First of all, you should try to directly contact the creditor, and see if some revised payment plan can be worked out. If this doesn't work, you can ask the collectors to stop contacting you by phone, and they will typically be obliged to do so. Of course, this doesn't make the debt go away, but it may give you some time to collect yourself and prepare a legal defense. Once this happens, the collection agency can only contact you to inform you that it intends to sue you for the debt owed.
If you have retained the services of a Red Wing, Minnesota attorney, they may advise that you declare bankruptcy, depending on your specific situation. In any case, you shouldn't consider bankruptcy before weighing other options, and discussing the matter with an attorney.
How Can a Red Wing, Minnesota 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 Red Wing, Minnesota attorney, since you might truly have a claim for damages against the creditor.
Also, if you are considering bankruptcy as an option, a seasoned Minnesota attorney can help guide you through the process.