Tips For Collecting A Debt

18 February of 2015

With the hard economic times hurting a lot of people and businesses, debt is on the rise. This can cause financial and mental stress that can lead to people to lose track of their debts. While you may be sympathetic to these issues, you still have a right to collect a debt that is owed to you. In order to collect your debt you may have to file a judgment against your debtors in order to get judgment collections. There are a few things you should do in order to get this done simply and quickly.

Take Time to File

Most places allow the debtor to appeal a judgment so you might want to take your time filing your paperwork to see if they do try for an appeal. Ideally, you’ll want to wait until the deadline for an appeal passes. Sometimes, if you approach the debtor aggressively before the appeal deadline, it might encourage them to go through with the appeal which will enable them more time to pay you back since they aren’t forced to make payments during the appeals process.

Request the Payment First

It may surprise you that most debtors want to pay off their loans but may have just put it on the backburner and forgot to send in the payments. Sometimes, they’ll gladly pay up when you remind them and ask them to pay in a professional manner. You can tell them that if they don’t pay, a judgment might be filed which will affect their credit report.

You should also be understanding if the debtor shows that they do want to pay the debt but physically can’t. Try to help them figure out ways to raise the money, like borrowing from a friend or relative or dipping into a retirement account. Most importantly, you don’t want to harass them. Sure, you’re entitled to your money, but making threats or calling at intrusive hours can be counterproductive at best and cause you legal trouble at worst.

Attach Easy Assets

If you see that there are no other ways to go about your judgment collections, you can go after the debtor’s assets. It’s best to start with the things that are easy to access. This is usually the debtor’s wages or their bank account. These assets are easy to attach and won’t take as much work as going after things like their car or home. By attaching their wages you are also guaranteed a certain amount of money with each pay check.

Consider Settling the Debt

While you ideally want to get all of your money back, there is always the chance that you’ll have to settle for a lesser amount. This will save you time and possible legal costs. It will also ensure that you get rid of the debt faster and be done with the whole aggravating situation.

Hire a Professional

When all else fails, you can hire a professional judgment collection service to handle the matter for you. You can contact a professional like Los Angeles Collector and they will use their tools to collect your judgment for you in return for a percentage of the debt. This option is great if you can’t take the time to pursue the debtor properly in order to get back your money.

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