Broadly, the term "Collections" refers to the practice of creditors trying to force debtors to pay what they owe. There are many laws and regulations in Aberdeen, South Dakota that govern collection agencies, and strictly limit the types of tactics they are allowed to engage in.
What if I Am Owed Money in Aberdeen, South Dakota?
If somebody owes you money and is declining to pay, you have several options at your disposal. However, in doing so, you will be governed by very specific consumer protection rules that govern the collection of debts. Violating these rules can hurt your chances at effectively collecting, and might even expose you to civil liability.
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.
You may, however, send a written demand for timely payment. The demand should lay out exactly how much the debtor allegedly owes. If there is a large amount of money involved, it may be worth it to hire an Aberdeen, South Dakota collections agency, which will probably take its fee in the form of a percentage of the debt collected. You should do some research on different collections agencies in your area, to make sure the one you hire is reputable, and meticulously follows the law.
What if Someone Is Trying to Collect Money Against Me in Aberdeen, South Dakota?
Of course, if you owe money and have the capacity to pay it, you should do so. If the collections caller is behaving courteously, 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 many options at your disposal in Aberdeen, South Dakota. First, you should try to contact the creditor directly, and see if some sort of deal 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 Aberdeen, South Dakota, 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 particular case, so you should not do so unless an attorney has reviewed the facts and determined that bankruptcy is a viable solution.
How Can a Aberdeen, South Dakota 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 an Aberdeen, South Dakota 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 South Dakota can tell you if this is a good option, and, if it is, help you through the process.