When you provide goods or services to other people or businesses, it is expected that you receive the full payment you are owed. While many people make the payments expected from them, not all fulfill this obligation, causing you and your company frustrating financial loss. Fortunately, there are ways in which you can pursue the payment that you are owed by other parties, preventing you from suffering long-term financial harm.
Collecting money from debtors or parties who are delinquent on their payments is not always easy, especially as there are laws and regulations in place to protect debtors from harassment. As such, having a legal professional who is knowledgeable about every aspect of debt collection supporting you in collecting the money you are owed can be invaluable. Contact our Dallas collections lawyers of Smith Kendall, PLLC, at (214) 361-6124 today to discuss your debt collection needs and the ways in which we can help you.
When parties have agreed to a contract in which one party pays another for providing goods or services, this contract needs to be upheld by everyone. Failing to secure the payments you are owed can cause you and your business substantial losses. In these situations, you likely need to take legal action to enforce these contracts and secure the payment you deserve.
Our legal team is prepared to help you with debt collection in the following ways:
While taking legal action to get the money you are owed can be a lengthy process, it is often necessary in order to obtain the money you are due.
Someone owes me money, but that person refuses to pay. What are my options?
Whether you own a small business, a large corporation, or you are an individual, your livelihood is at risk if you have debtors who will not, or cannot, pay. Thousands of businesses fail each year because they do not receive the revenue to which they are entitled. If you are facing financial harm, it is wise to consider all your debt-recovery options. The simplest option is collection letters and phone calls. While you must avoid harassment, frequent calls and letters are powerful tools. If you feel the debtor is unable to pay the full amount, consider offering a legally binding settlement for less than the initial amount. In more serious cases when a debtor refuses to pay, a lawsuit in small claims court offers a low-cost option to enlist the assistance of the court in collecting your debt.
I am going to contact the debtor, but I want to avoid harassment. What should I do?
In the United States, debtors have a variety of protections granted to them by the federal government. Adhering to the Fair Debt Collection Practices Act is essential in order to avoid being sued by the party who owes you money. As mentioned previously, letters and phone calls are an effective tool to encourage payment. As a collector, you cannot contact the debtor after you have received a formal letter from them asking you to quit. At that point, your only option is to sue. In addition, if the debtor has retained a lawyer, all contact must be made through that lawyer.
Do I need to pay a collection agency to collect my debt?
Collection agencies have experience with the debt collection process, but agencies are not necessary. Writing demanding letters, making phone calls, and filing a lawsuit are all steps you can take with the assistance of a legal representative.
Suffering from financial loss as a result of parties not making the payments expected of them can be devastating, but you do have the legal right to pursue the compensation you are owed. The Dallas collections attorneys of Smith Kendall, PLLC, have the experience and knowledge necessary to help businesses obtain the money they are owed in order to prevent financial loss. Contact us at (214) 361-6124 today to see how we can fight to uphold your rights.