November 26, 2013
Debt Collection: How to Recover Debts You're Owed
When it comes to recovering debt owed to you — either as an individual or as a business — you may not know how to approach debt collection. Debt collection can be a confusing legal process, and if you don’t approach it in the right way you may never see the money you’re owed.
How should you approach debt collection? Read on to learn more.
Debt Collection: Recovering Money You’re Owed
1. Contact the party/parties who owe you.
Whether you’re owed money by an individual or a company, the first step in debt collection is to contact the debtor by phone or in-person. Have the original contract or the legal documents showing that they owe you money so you can reference them in the conversation. Speak calmly. You may be able to reach an informal agreement to get the debt repaid.
2. Write your debtor a letter.
If reaching out by phone or in-person doesn’t work, your next step in debt collection is writing your debtor a letter. Include how much money they owe, how and when they incurred the debt, and the steps you have already taken in debt collection. Also put in specific information — your name and address as well as the name and address of the debtor, dated copies of all papers related to the debt, a specific date by which you require payment (give at least one week), and what you’ll do if no payment is received. Also request that they submit any disputes to your debt collection claim in writing.
3. Seek mediation.
When working directly with your debtor isn’t working, you should consider using a mediator to further pursue debt collection. A mediation service will help you negotiate with your debtor to find a solution without taking your case to court. This can be a quicker way to end your debt collection, but it might not be as effective as going to court, as there’s no guarantee that your dispute will be settled.
4. Use a solicitor.
When negotiation or mediation fails, you can hire a solicitor to take on your debt collection case. Solicitors are well-versed in debt recovery. They’ll charge a fee to write a letter to your debtor threatening legal action. Even if your previous letters had no effect on your debt collection, a solicitor’s letter might produce results. Again, there is no guarantee that a solicitor can successfully complete your debt collection.
5. Hire an experienced debt collection attorney.
When other avenues of debt collection fail, you can take your claim to court. You’ll need a trusted, experienced debt collection attorney to provide you with sound legal advice and successfully guide your case. A debt collection attorney can work with you in early stages to negotiate payments, or they can help you file a debt collection lawsuit.
Need Debt Collection Help in Kansas City?
If you need help with debt collection in the Kansas City area, Daniel C. Miller is the debt collection attorney for you. Daniel can help you achieve a quick settlement through negotiation or he will advocate on your behalf by taking your debt collection claim to court. When a judgment in your favor is received, Daniel will quickly initiate debt collection procedures. With proven results and years of debt collection experience, Daniel C. Miller is the professional debt collection attorney you need on your side.
To get help with debt collection in Lee’s Summit and throughout the Kansas City area, call Daniel C. Miller today at (816) 875-0470.