Collecting on a Business Debt: How a Collection Attorney Can be of Great Help to Your Efforts

Running a business can be rewarding if it is thriving. However, when your loyal customers do not pay on time, things could get complicated for you. Although consumer protection law protects debtors from creditor harassment, you have a recourse to collect on this debt without violating the law. Ultimately, you will need to go to court and have a collection lawyer in New York by your side. Keep reading to know some important information about collecting on a past-due account:

Business Debt Collection

Before you can take more aggressive actions, you must take all reasonable ways to collect from your customer. If you have provided the product or service, sent the invoice, and did not get a response from the debtor, it is time to make use of a measured approach. First, send a debt collection letter that reminds the debtor of their missed payments and allows them to correct the situation. After the initial letter, you can also send a follow-up letter and a final demand letter before you take further action.

Why Hire a Debt Collection Lawyer?

Collection attorneys can provide you with personalized assistance with your situation. They can explain the property procedures and help create a debt collection demand letter or suggest other solutions to your issues. Your lawyer may recommend that you visit the debtor personally or file for a lien in some situations. Also, they can give advice on whether to seek a court-based remedy to collect on the customer’s debt. When you receive a favorable judgment from the court, your attorney will work with you in collecting on this judgment.

For a business owner, it is more efficient to depend on a law expert who is familiar with debt collection laws than to spend time figuring out the laws that could impact your collection efforts. Also, by hiring a debt collection attorney, you will have peace of mind knowing you won’t violate the law and risk yourself dealing with possible claims from your debtor.

In addition, an experienced collection lawyer has knowledge and access to tools you may not have. With this knowledge, they can assess every collection issue you may have, identify the assets available for securing collection, and creating a plan for an effective recovery. Lastly, they may be able to collect your money more quickly than when you collect on the debt on your own. Once a demand letter bears a lawyer’s name, your debtor may want to pay their dues right away to avoid facing legal action.