Debt Collection Attorney – Why You Need a New Jersey Debt Collection Attorney

Every debt collection case is unique. A good attorney starts by thoroughly analyzing the file to determine whether it makes sense to pursue the underlying debt.

Debt collectors often buy debts in bulk and may not have sufficient paperwork to prove you owe the money. Debt collection attorneys have a wealth of legal options for collecting a debt, including getting a court judgment to garnish wages, place liens on property and levy bank accounts. Learn more.

Legal Expertise

When debt collectors attempt to collect on a debt, they must follow federal and state laws regarding how they interact with consumers. They must verify the debt is valid and that the statute of limitations has not expired. They must also identify themselves in the first contact with you and inform you of your rights. They cannot lie or mislead you in any way.

Debt collectors are not allowed to threaten you with violence or use abusive language. They are also not allowed to contact third parties about your debt, unless you consent to such communication. This includes contacting your employer, co-workers or family members.

When you hire a collection attorney, you can expect top quality service and more legal options than traditional collections agencies. They are also dedicated to high level documentation of their cases. This ensures that any future steps in your case are clearly defined and based on solid evidence. They are also knowledgeable about your state’s laws regarding collection practices.

Documentation

Anyone who does business in New Jersey must annually file a collection agency bond with the state. The purpose of this is to ensure that a debt collector does not violate debtor protection laws. Violations can lead to legal liability, as well as a tarnished reputation in the community.

In addition to federal regulations, New Jersey has its own Fair Debt Collection Practices Act that sets forth and monitors what creditor collection agencies can and cannot do. For example, debt collectors are not allowed to swear at you or threaten physical violence. They also can’t reveal personal information about you to third parties unless they have the right and intention to do so.

When you are sued by a debt collector, you will receive a Summons and Complaint from the court in which your case is “venued” (the division in which your case is filed). There is usually between 10 and 30 numbered paragraphs that lay out the lawsuit against you.

Time

There are strict laws that dictate how debt collectors can contact you, and they have to be very careful not to violate them. They are also obligated to provide you with clear and accurate documentation of their attempts to collect the debt. Debt collection lawyers are familiar with these rules and regulations, so they will take the time to ensure that all of this information is correct.

If you are being sued, the attorney will file a lawsuit against the creditor in the appropriate court. If the claim is for less than $3,000, it will be filed in Small Claims Court; this court has the least formal proceedings and the cases are usually over in a few hours. However, if the suit is for more than $15,000, it will be filed in either the Law Division or the General Part of the Superior Court; these courts have longer procedures and the cases will take longer to resolve.

Experience

Debt collection is an important and necessary part of the American capitalist economic system. Businesses that do not get paid for goods or services rendered cannot pay their employees, or buy equipment and supplies for future jobs. This can lead to bankruptcy or a loss of business for the company.

It is critical that businesses understand and adhere to state and federal debtor protection laws. Violating these laws exposes the company to legal liability and a tarnished reputation. A knowledgeable collections attorney will work to ensure that all interactions with debtors are handled according to the law.

A New Jersey collections attorney is able to go over all possible legal options for collecting on a debt, including legal judgments that allow a creditor to garnish wages, levy bank accounts, and place liens on property. These tools provide a creditor with far more options than traditional collection agencies. They also are able to properly document the legal steps taken on behalf of the client.