Debt Collectors vs. Lawyers: Which Should I Use to Collect a Debt

Debt Collectors vs. Lawyers: Which Should I Use to Collect a Debt

Nothing feels worse than when you have someone who owes you money, and they refuse to pay. Either outright, or they take every action that they can to get away with not paying. What can you do in these circumstances? You can call in the big guns to force them to play fair. As debt collection lawyers, we’re a debt collection legal team that will take the necessary actions to get back on the money owed.

Litigation Needed?

You have cases where nothing except litigation will force debtors to pay what they owe. In some cases, even the shadow of a threat of legal action will get the debtors to work with the creditor, but every case differs. Usually, this will cause them to work payments with you, however. That matters because if you can’t get the individual to pay, you will have to take it through the court system. While this effectively forces the person to pay what they owe, it also costs you money to go through the process of litigation. That is one of the reasons that a lot of people try to avoid it.

How Debt Collection Lawyers Work

We work on behalf of the creditor. Our team of expert lawyers will discuss the facts surrounding the case, and we will look at the possibility of whether the collection of a debt through litigation makes sense. In those cases, we will initiate the process and help you to do whatever it takes to collect on your debts. We will also give you a recommendation of whether or not it pays to take the litigation route. In some cases, it doesn’t pay to go this route because it will cost more to begin the process than what you will collect on the debt. The cost will usually be around $250, but cases exist where it does go over $1,000. This depends on hearing fees, filing fees, process servers, and judgment collection efforts.

You do have cases where you can get an even better return on your investment through avoiding litigation where possible. That is why we often advise our clients to do what they can to avoid it whenever possible. You do, however, have cases where you won’t get anything unless you take the debtor to court.

Debt Collectors vs. Lawyers

What should you choose a debt collector or a lawyer? Let’s say that you have hired debt collectors to collect the debt. This can take some finagling because of how a debt collector doesn’t use the legal process to collect. Instead, they work through coercing the debtor to pay his debt. Usually, this involves calling them to collect on the debt. In some cases, however, this doesn’t work. Nothing can make them repay the debt, except legal action or the threat of legal action.

Before you take the next step up to the lawyers, you should first check to see that you have done the following:

• Sent out invoices to collect on the debt.
• You sent out follow-up emails to learn more.
• Called the customer to outline the outstanding debt.

Once you have exhausted these recovery methods, you may find it useful to call in a team of experienced legal professionals. Many times, it makes sense to hire a debt collection lawyer when you plan to take the debtor to civil court to collect on what they owe.

Why People Choose Lawyers

People will often choose the lawyer route because of how it provides them with legal representation in the court system. Lawyers can guarantee that you will usually recover a debt, but you should understand how this will often come with its fair share of costs. When you take the other route, you don’t have to worry as much about the costs. Many times, even when a lawyer writes out a letter of demand, it will be enough to get the person to pay on the debts that they owe. To initiate the court process, the Boston debt collection lawyers will file the necessary court documents. They will do whatever you need for the process.

Show That You Mean Business

Having a lawyer on hand shows the debtor that you mean business, and you intend to go as far as what you have to for collecting on the debt. You have three steps to the process of collecting on a debt. First, you will have an internal collector for the first six months. If they can successfully earn off the debt, they will do so. In some cases, you will have to take further action. This is where you call in the lawyer. However, you have cases where the lawyer will tell you that it isn’t worth the cost of litigation. What do you do in those cases? For those circumstances, you can sell the debt to a collection agency. You write off and sell it for pennies on the dollar in many cases.

Having a lawyer on hand can also acquaint you with the different laws on the books. In that way, you understand the necessary actions to undertake for when you go to collect a debt. The burden of proof will be on you in the court system. That is why you need a qualified and knowledgeable lawyer who will tell you about the best route to take for your case.