When Your Small Business Should Call a Debt Collection Lawyer

It’s a sad truth, but sometimes customers don’t intend to pay you. There may come a time when you have exhausted everything possible – after sending many letters, calling many times, and maybe even meeting in person – but it is pointless. The account keeps going over and every day it seems like your money will be lost forever. If that’s the case, maybe it’s time to bring in the big guns, enlist the nefarious characters in suits from the back of the house – maybe it’s time to strike a debt recovery lawyer. When Your Small Business Should Call a Debt Collection Lawyer

Just by their presence, lawyers can be very effective in getting people to pay. Just the threat of going to court can motivate people to take action. So, before hiring a lawyer, it’s a good idea to write a letter with his advice and services (if, of course, the one you wrote earlier didn’t). According to Rocket Lawyer’s Justin Tenuto, “Sometimes a professional letter from a practicing attorney will motivate your creditor to pay. After all, debtors don’t want to go in front of a judge, explaining why they haven’t paid you.” Sometimes you can get a lawyer to do it for less (like Rocket Lawyer), but that’s also a good idea to go with someone you can develop a relationship with, just in case you want to pursue the matter further.

To pay or not to pay? If your goal is to hire a full-time debt collection attorney, you should first do a cost-benefit analysis to ensure that this decision makes financial sense. Debt collection attorneys are expensive, but you don’t want to end up paying more for their services than you were trying to recover in the first place. The last thing you want to do is waste more money on this whole situation. So, when you decide to go the legal route, get the financial strength of each option. If the account is large and you can recover a good portion of it, even the attorney’s fees, it may be a good idea to proceed with the decision. On the other hand, to hire a debt collection attorney, you must be prepared to take your client to court. Otherwise, hiring a professional debt collection attorney may not be the best solution.

 

Phillip John Smith

Choosing a debt collection attorney for you

You should always do your research before doing anything, and choosing a debt collection attorney is no exception. It’s hard to imagine, but there are many different debt collection lawyers who specialize in different fields. So, just like choosing the right commercial bank, you should also hire a lawyer who has experience in the specific situation you are dealing with. Dig a little deeper to find out exactly what a lawyer’s qualifications are. Ask for directions, review track records, and ask questions about plans. Do what it takes to find out if this attorney is right for you and the type of debt you are trying to collect. Remember that you have to balance the cost of the lawyer with the actual amount you want to recover, so choosing the right lawyer includes finding one with a fair payment plan. After all, the goal is to get paid.

Debt Collection Lawyer vs. Debt collection agency

You may be wondering why you should hire a debt collection attorney when I can hire a debt collector? Although debt collectors are certainly an option, and are often cheaper than a lawyer, a lawyer is sometimes necessary for more difficult clients. Lawyers, as attorney Jeffrey Curl explains, have a lot of flexibility and options for what they can actually do and how they can get your money.

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