One of the biggest drawbacks of offering flexible financing terms is that some customers fail to make payments in a timely manner and some just simply become a deadbeat. They just don’t pay back. The latter type of customers either use delaying tactics in the hopes that you’ll stop the follow-up process soon and eventually write them off as bad debts. And because such debtors continue to delay payments, credit managers face the dilemma of when to turn credit accounts over to the experienced Massachusetts-commercial debt collection attorneys at the Law Offices of Alan M. Cohen & Associates LLC.
Credit Managers Dilemma: When to Turn an Account Over to an Experienced Commercial Debt Collection Attorney Varies Industry to Industry
It’s true that there is no specific timeframe regarding when to hire a lawyer for debt collection but there are definitely some signs that indicate that it is the perfect time to seek legal representation. Let us walk you through these signs to help you understand the situation better. They can vary from industry to industry but in general, if you can spot these signs then it’s definitely high time to hire a commercial debt attorney to fight your legal battle and get your monies recovered.
• When You Can Invest Time, Energy and Resources in Generating More Revenues
If your in-house team has been calling and emailing debtors to pay back the debt for months, and you begin to feel that the time, resources as well as energy that you are investing in making collection calls could be better used in running and growing your business then that is when you must consider legal representation. This is because that the same amount of time and energy can help you get more business. Why waste your time and resources on deadbeat customers? Let our experienced and relentless commercial debt collection attorneys handle your collections while you focus on generating more business revenue.
• When the Size of the Debt Account is Big
The debt amount also plays a vital role when it comes to hiring a lawyer for case representation. This is pretty much because of the cost-benefit. Cost-benefit means assessing the relation between the cost of an undertaking and the value of the resulting benefits. In simple words, small debt accounts under $4,000.00 can be handled in-house or placed with a collection agency. However, for large amounts, even those within the small claim limits, it makes sense to go to collection attorney so that you can use the full range of debt collection tactics. As the lawyer has the power to use legal actions, they can seek ex-parte bank attachments and attach all or part of one or more debtor’s bank accounts without any prior notice to the debtor, thereby preventing them from transferring or emptying their accounts if they receive a prior notice.
• When You Fear the Property Owner or Contractor Has No Intentions of Paying You Back
This exclusively applies to the construction industry. If you are a supplier of raw material or you have rendered services to a construction project and the contractor is not making the agreed upon payments, then hiring a lawyer is the best step. The experienced mechanic’s lien lawyer at the Law Offices of Alan M. Cohen & Associates LLC can prepare the necessary documents to create, perfect and ultimately enforce your mechanic’s lien rights to maximize the likelihood of getting you paid.
• When the Debtor has Real Estate Assets and You Fear that they Might Sell or Transfer Them to Show that They are Not Financially Stable
If you already know that your debtor is a strong party in terms of financial standing and has plenty of real estate assets then its best to turn to a debt collection lawyer before they sell or transfer their assets. Many debtors transfer their assets to hinder collection efforts. However, if you hire a lawyer fast, the Law Offices of Alan M. Cohen & Associates LLC can use the power of real estate attachments to seek to prevent the debtor from selling or transferring the property until you get paid or they bond off the attachment (which can make collecting even easier).
Turning Debts over to the Collection Lawyers at the Law Offices of Alan M. Cohen & Associates LLC No Later than three times the initial Term of Payment Greatly Increases the Likelihood of Successful Debt Collection
To increase your likelihood of successful debt collection, hire our attorneys immediately. By acting fast, our attorneys will seek pre-judgment security to try to make sure that when we win there is an asset from which you can get paid.
Don’t Send Your Delinquent Accounts to a Collection Agency, Send Them to the Aggressive Business Debt Collection Attorneys at the Law Offices of Alan M. Cohen & Associates LLC
Some credit managers often seek assistance from collection agencies instead of hiring a collection attorney thinking that maybe it’s the first obvious step to ensure collection of debt. But this is a big mistake because working with a collection agency is often a waste of your valuable time.
In our opinion, sending substantial (anything over $4,000.00) delinquent accounts to a collection agency doesn’t add anything because there is nothing, they will do in recovering monies for you that you probably have not already done. They will take will be the same steps that you must have already taken before hiring a collection agency such as making calls and sending demand letters. All this will just delay collections and waste more time.
And if you’ve hired them thinking that they will pursue your case legally, then let us tell you that debt collection agencies don’t have the legal capacity to file a lawsuit and represent your debt collection case in the court. This means that they can do nothing more than sending demand letters and make calls.
Therefore, it is more advisable to send delinquent accounts to a business debt collection attorney like our founder, Alan M. Cohen. Our attorneys will pursue your case aggressively and take legal actions against the debtors to try to ensure timely collection of debts in compliance with the law. We don’t waste time of our clients on making threatening phone calls and sending letters. When it all goes well, the first time that they will hear or see our name is when the deputy sheriff sends them copies of the attachment tools issued by the court.
So, if you want to use your time and money to make money, call us today at the Law Offices of Alan M. Cohen & Associates LLC today to maximize the possibility that your deadbeat customer will pay you. Call us at 508-763-6604 or email us at [email protected].