Broadly, the term "Collections" refers to the practice of creditors attempting to force debtors to pay what they owe. There are various laws and regulations in Belton, Texas that govern collection agencies, and strictly limit the types of tactics they are authorized to engage in.
What if I Am Owed Money in Belton, Texas?
If somebody owes you money and is refusing to pay, you have many options at your disposal. However, in doing so, you will be governed by very strict consumer protection laws that govern the collection of debts. Breaking these rules can hurt your chances at successfully collecting, and might even expose you to civil liability.
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.
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 considerable, you might also want to hire a collection agency in Belton, Texas. You should make sure that any agency you hire is dependable, and has not been cited for violations of the laws governing collections.
What if Someone Is Trying to Collect Money Against Me in Belton, Texas?
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 cordially, you should do the same. Even if the caller doesn't behave in a cordial manner, you should resist the temptation 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 Belton, Texas. First of all, you should attempt to directly contact the creditor, and see if some adjusted 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 normally be obliged to do so. Of course, this doesn't make the debt go away, but it might 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 hired a lawyer in Belton, Texas, they might advise that you file for bankruptcy. Of course, whether or not this is a good idea depends heavily on the facts of your individual case, so you should not do so until an attorney has reviewed the facts and determined that bankruptcy is a feasible solution.
How Can a Belton, Texas Collections Attorney Help?
If you believe that the collections agency is engaging in illegal or abusive activity, you should consult with a local attorney in Belton, Texas, as you might actually have a claim for damages against the collection agency.
If you are thinking about bankruptcy, a good Texas bankrutpcy attorney can help guide you through the process.