Elite Lawyer

Collections Attorney Overview

Lawyer Assistance With Collecting Outstanding Debts

Revenue is important for any business, allowing a company to pay employees, cover expenses, and continue operating. However, when a business struggles to collect money that is owed, this can have a significant impact on the company's bottom line. In these cases, business owners should understand their legal options for debt collection.

If your business needs to collect outstanding debts, it is important to work with a skilled debt collection attorney. An experienced lawyer can help you understand your rights under state and federal laws and assist in determining the best methods for recovering what is owed to you.

Debt Collection Remedies

Creditors have a variety of remedies available for collecting debts, including:

  • Direct contact - A business may contact a debtor through phone calls, mailed notices, or other methods to demand payment. They may also transfer the debt to a debt collection agency or attorney. Debt collectors are required to follow the Fair Debt Collection Practices Act (FDCPA), which prohibits them from using abusive practices such as calling a debtor at inconvenient times, communicating with third parties such as employers or family members, or making false or misleading statements.
  • Repossessing property in secured debts - Certain types of debts, such as home mortgages or auto loans, are secured, and a creditor can take possession of the secured property if the debtor fails to pay their debts.
  • Court proceedings - A creditor may initiate a lawsuit against a debtor to recover the money owed. In some cases, they may be able to repossess property through actions such as replevin or attachment, which are usually applicable in emergency situations, such as when property is in danger of destruction or disposal by a debtor. If a lawsuit results in a judgment in favor of the creditor, a debtor's property may be seized and sold, with the proceeds being used to repay debts, or a debtor's wages may be garnished until debts are repaid.
  • Liens - A successful judgment may result in a lien being placed against a debtor's property, requiring the debtor to make payments until the debt has been settled and allowing a creditor to seize the property if the debt is not repaid. Certain types of businesses, such as contractors or suppliers, may be able to place a mechanic's lien against property if they have not received payment for products or services.
  • Involuntary bankruptcy - Creditors who are unable to collect debts may be able to initiate proceedings that will force a debtor to liquidate their assets or reorganize their debts into a workable payment plan.

Collecting debts can be a complex process, but it is often an essential part of doing business. A skilled collections attorney can ensure that creditors follow the correct legal procedures, and they can determine the best legal options for recovering money owed.

Featured Attorneys

Darlina C. Crowder

Darlina C. Crowder

Collin County Criminal Attorney

The Crowder Law Firm, P.C.

7950 Legacy Drive, Suite 360
Plano, TX 75024
Phone: 214-303-9600
Allen N. Schwartz

Allen N. Schwartz

Orland Park Personal Injury Lawyer

Kralovec, Jambois & Schwartz

60 W. Randolph St., 4th Floor
Chicago, IL 60601
Phone: 312-782-2525
Todd A. Bresney

Todd A. Bresney

Springfield, IL Lawyer

Kanoski Bresney

2730 South MacArthur Blvd.
Springfield, IL 62704
Phone: 217-523-7742
Tricia Goostree

Tricia Goostree

Tricia D. Goostree | Kane County Family Law Attorney | Goostree Law Group

Goostree Law Group

555 S. Randall Road, Suite 200
St. Charles, IL 60174
Phone: 630-584-4800
  • U.S. Bankruptcy Lawyer Directory
  • Illinois Child Support Calculator
  • Dads Divorce Law
  • Elite Lawyer
  • Illinois Best Legal Websites
  • OVC Chatbox
  • OVC Photography
Back to Top