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Identifying Assets In The Debt Collection Process
Collection procedures can be lengthy depending on whether or not you’re able to locate where your debtor is keeping or hiding their assets. For instance, if you know that the customer who owes you money has the ability to pay its invoice and you know where its assets are, then the collection process may be easier and quicker if you act in a timely manner. But this scenario isn’t very common as debtors who intend to be deceitful are typically good at hiding their assets.
We urge all of our commercial clients to maintain copies of checks that they receive from their customers or certainly from new customers. The reason for this is that if it becomes necessary to sue a customer, our client can provide us with information about the customers’ bank accounts which then we may be able to use to attach their bank accounts. So just a few minutes spent making copies of checks may prove very valuable at some point in time. Even if a client has forgotten to copy some checks, usually with the help of their bank they can get copies of checks that were deposited into their account.
Collection attorneys use the legal system to collect debts. Through the Court process, the debtor has to provide information as part of the “discovery” phase of the litigation, some of which at that stage of the legal proceedings may lead to the discovery of assets and/or where they are located. However, once a Judgment enters against a debtor, then if need be, an inquiry can be made as part of the Judicial process to inquire into the debtor’s finances in much more greater detail.
A collection attorney has the ability to locate your debtor’s assets easier then you would without an attorney. An experienced collection attorney will help make the debt recovery process as smooth as possible, and in fact, by using a collection attorney it will enable you to get back to the work that keeps your company going.
Please contact us for more information about how we can assist you in collecting what is owed. There is no charge to have us evaluate your claim. So contact us either by email or phone call. We promptly respond to all inquiries as we appreciate the business that we receive.