As more individuals and businesses find themselves deeper in debt, the number of bankruptcies being filed is increasing. If you are facing this type of situation, it is important to understand how bankruptcies work, what you can expect and what your rights are so you do not accidentally approve the sale of your most precious family heirlooms when it is not necessary.
A debt collection attorney may be involved in your case, as many credit card companies hire these professionals to collect payment for overdue debts. You might also find yourself hiring a collection attorney to assist you in preparing for bankruptcy or if you are being sued by one of your creditors.
These types of attorneys have a few different roles when it comes to helping you with your debt situation. Duties you might utilize them for include:
A debt collection defense attorney will sit down with you and discuss your ultimate goals regarding your financial situation. That might be developing a payment plan for general debt repayment or one that needs to be validated by a bankruptcy court for filing a Chapter 11 or 13. Or they can assist you in doing what is necessary to discharge your debts after they try all the alternative options.
Fair Debt Collection
The federal government developed a Fair Debt Collection Practices Act to ensure no individual or business would be harassed by creditors in an abusive fashion. To enforce this act, it allows you to file a lawsuit against any that break these laws.
States have also developed their own separate debt collection laws, such as requiring collectors to identify themselves when calling and that they can only call between certain reasonable hours, excluding the time you are at work. Once a collector knows you are being represented by an attorney, they are required to only communicate to them. Keep in mind that your collectors must also be respectful by not making threats against you, using foul language or calling an unreasonable number of times per day.
While your bankruptcy lawyer in Melbourne, FL can lay out all your options, you might still need to file for bankruptcy. The attorney can explain each type and the benefits based on your unique situation, so you can finally move on to better things!
Thanks to The Law Offices of Arcadier, Biggie & Wood for their insight into bankruptcy and collection attorneys.