It is not unusual for businesses to come across debtors who refuse to repay the money back. Despite all means and approaches, your debtor could find ways to transfer and shield their assets. If there is nothing more you can do, the next best step is to seek legal help. Talk to a New York collection attorney to understand how they can help with debt collection. Here’s an overview.
Lawyering up is a good idea for help with debt collection
Many businesses rely on debt collection agencies to get money from debtors, but there is a limit to what an agency can do to recover the money. For instance, the debt collection agency cannot threaten to sue the debtor if they don’t pay. In contrast, a collection lawyer working for the business can. Attorneys know what it takes to break down the common barriers in the recovery process. Lawyers have their own resources, sources, and databases, which allow them to recover information that a collection agency cannot.
Enforcement of Legal Judgments
You have spent a considerable amount of time to obtain a judgment, but unfortunately, that may not be enough. In fact, more than 70% of all judgments go uncollected. Enforcing a judgment is often the hardest part, which is precisely why you need an attorney. An attorney can help recover legal fees and commissions, and if you are dealing with invoices, promissory notes, guarantees, and other similar documents, you can seek help for those too.
Fraudulent Conveyance Cases
It is also rather common to come across cases of fraudulent conveyance where a debtor has tried to evade payment by transferring their assets/money to another entity. A good lawyer will investigate such transfers and get you the money you deserve. Lawyers can also help your business with judgments in other jurisdictions.
Are collection lawyers different from debt collection agencies?
Yes, absolutely. A collection lawyer can sue the debtor on your behalf and be more aggressive in how the money is recovered. Also, attorneys often charge a flat fee or a contingency charge, and eventually, if you compare the prices, you are likely to pay less for their services. You should consider a collection lawyer over an agency if your debt is of a significant amount. Agencies, on the other hand, would work to collect all sorts of small and large debts, but they cannot take legal measures unless they have hired collection lawyers.
Talk to a collection lawyer in NY now!