Debt Collection Blog

"Relentless Collection Attorneys"

Alan Cohen

Collection Attorneys Vs. Collection Agencies: Pre-Judgment Attachments Vs. Pre-Suit Letters

So, you’re a lending agency or someone who was just nice enough to lend someone money, and now you’re stuck with an overdue account and a debtor who isn’t willing to cooperate. What should you do?  This is a valid question for any creditor who finds themselves in this uncomfortable situation. The good news is, there are two ways out of this strange predicament for the creditor.

To take the guessing out of the equation, one is the right way of getting your money back while the other is the wrong or long way of trying to get your money back in the following lines you’re going to learn what’s the best option for a creditor to get their payments for outstanding debts.

Debt Collection Agency vs. Debt Collection Attorney

For a creditor in Massachusetts, which will be the best option, the debt collection agency or a debt collection attorney? This is a million-dollar question (at least, for some folk). The short answer is – the Law Offices of Alan M. Cohen LLC. But, here’s the long answer.

As a business owner, it will ultimately be your responsibility for the management of all money that comes into your company. But, if you happen to be in a situation where you are unable to collect your outstanding payments for a product or service rendered, that can put you in a bit of a pickle. But, not to worry, because there is a way out.

Whenever a deadbeat client doesn’t pay their debt on time, or outright refuses to make their outstanding payments, you are going to need an experienced debt collection service to help you get back your money. To do that, creditors are met with two options, either turn over the debt collection to a collection agency or turn it over to a debt collection attorney. There are quite a few reasons why smart creditors opt for the latter. Here’s a quick breakdown of what it means to have your debt collected by a collection agency and a debt collection attorney.

Debt Collection Agencies

If you threw up a stone in Massachusetts, it would probably hit the glass of a debt collection agency. These things are everywhere these days, but that doesn’t mean they are the best option when it comes to debt collection. Even though some people would opt for the services of a debt collection agency for the collection of their outstanding payments because it may seem less expensive, the real problem with debt collection agencies when it comes to collecting a creditor’s debt is not their software or computers they use to try to retrieve the money which is low hanging fruit.   The real issue why going with a debt collection agency to retrieve payments for delinquent accounts does not make dollars or sense is because a debt collection agency does not have the capabilities nor the legal authority to go to court to get payments on judgment debts and thus a relying on a debtor’s good will to make payment.

This is one of the main reason why creditors who go with debt collection agencies for the collection of their debts often return disappointed. And that’s not the only reason why a choosing a debt collection agency over a debt collection attorney does not make dollars or sense. A debt collection agency usually operates as a third party who has been given authority by a company to collect a debt, that doesn’t automatically make the debtor liable to pay the outstanding debt. Why? You ask. Because under Massachusetts law, a debt collection agency does not have any legal authority to get a debt payment, unlike a skilled debt collection attorney. In other words, hiring a debt collection agency for the collection of your outstanding debts, might get you the satisfaction of having someone who is there to collect a debt on your behalf, but that is not going to mean that the debtor is going to pay you the money you’re owed.

Another reason to directly hire an experienced collections attorney whose practice focuses on bad debt recovery is time. The time that is wasted while a creditor waits for the collection agency to send out not, one, not two but often three demand letters. Perhaps a reason for the use of a demand letter and the delay in moving forward is that if the collection agency cannot directly collect on their letters and calls, they have to split their fee with—that’s right—you guessed it—a Massachusetts collections attorney.

Why not just cut out the middleman and get right to it?

Why a Debt Collection Attorney is a Smarter Option?

Cutting out the middleman or woman and directly hiring an experienced debt collection attorney who focuses in the collection of delinquent debt can get you far better results when it comes to debt collection in Massachusetts.  No time wasted on demand letters (unless you want them). No time wasted on making phone calls. That’s because hiring the time proven experience of the Law Offices of Alan M. Cohen LLC is the way to go. They don’t just talk the talk, they walk the walk, and will make every effort to get your debt paid in full. There are many reasons why creditors who are looking to receive judgment payments should hire an experienced attorney whose practice focuses debt collection in Massachusetts.

The main difference between hiring a debt collection agency and a debt collection attorney is that a debt collection attorney has the legal authority to drag the debtor to court to make sure you receive your payment. A debt collection agency can only contact your debtor, file a credit report, and write the debtor letters, which the debtor isn’t obligated to reply. This is another reason why creditors who are looking to collect their delinquent debts hire experienced debt recovery attorney Alan M. Cohen who has the experience in debt collection to be by their side to make sure the creditor gets back the money they are owed.

Under the Fair Debt Collection Practices Act, a debt collection agency is not permitted to act as if they are debt collection attorneys even if they have attorneys on staff. It’s no wonder businesses and individuals who hire debt collection agencies initially for the collection of their debt eventually turn to experienced debt collection attorneys when the collections agency fails to get the job done.

Reasons to Hire a Debt Collection Attorney

The following are some more reasons why creditors should opt for hiring an experienced debt collection attorney or debt recovery attorney for the retrieval of their delinquent debts:

Size of Account

The size of the debt will oftentimes play an important role in the decision-making process as well, and in most cases, will be enough to make the decision for you. Small amounts in the hundreds of dollars should be placed with a collection agency because of the cost benefit. However, larger amounts, even those within the small claims limits, should go to a debt recovery attorney as they may lend themselves to ex parte attachments of the debtor’s bank accounts. Try getting that from a collections agency!!.

A Debt Collection Attorney is All About Action

While the actions taken by a debt collection agency can be described as passive at best, and in some cases against the law at worst, a debt collection attorney on the other hand, is all about taking aggressive and ethical action against the debtor to increase the chances of getting your debt paid. It’s the actions that a debt collection attorney is ready and able to take which is what sets an experienced debt collection attorney apart from a debt collection agency. Unlike a debt collection agency that will take part in a multi-communications strategy, by writing letters and contacting your debtor via phone, a debt collection attorney has the legal authority to help you retrieve what is owed to the creditor.

An experienced debt collection attorney who is well-versed with the law regarding debt collection and the ins and outs of legal procedures in Massachusetts will not waste your time with sending emails to the debtor’s email address, letters to their post-box number or calling them on the phone. A debt collection attorney will waste no time getting straight down to business.

More Effective Debt Collection Strategy

The sheer number of tools that an experienced debt collection attorney Alan M. Cohen has got in his arsenal means that he is able to use a number of debt collection strategies to collect money from your deadbeat. By hiring the experienced debt collection attorneys at the Law Offices of Alan M. Cohen LLC, you hire at debt recovery attorneys who know how to collect a debt from even the most stubborn debtors. A debt collection attorney has methods of effective debt collection to increase your chances of getting your delinquent debts paid. These include suing the debtor and taking them to court, wage garnishing, and a variety of legal methods to not just recoup a part of your debt but can increase your chances of getting all of your debt paid by the debtor.

Pre-Judgment Attachments V. Pre-Suit Letters

As mentioned before, if you’re looking to get your debts paid, an experienced debt collection attorney is not going to waste any time with letters, emails and phone calls. First off, a debt collection attorney will work to obtain ex-parte attachments of the debtor’s bank account(s), if the debtor has got one. If a creditor is uncertain or does not have any information regarding the assets of the debtor, it will not take long for a debt collection attorney who is well versed with debt collection in Massachusetts to find dirty laundry on the debtor. This offers the creditor with a relatively cost-effective and prompt means of getting paid for their delinquent debt. A debt collection attorney can also work towards freezing the assets of the delinquent debtor before a judgment is won to ensure you get paid. Specific property, such as a home, back accounts and any other assets that are of value to the debtor can be used to satisfy the debt that’s claimed by the creditor. By hiring the Law Offices of Alan M. Cohen LLC, you can rest assured that you are going to get a debt collection attorney in your corner who is going to be aggressive when it comes to the collection of your debts.

The good news is, the act of hiring a debt collection attorney for the collection of delinquent debts in the State of Massachusetts, is what you should do to get the debtor to pay what they owe to you.  That’s because hiring an experienced debt collection attorney rather than going with a collection agency sends the message to the debtor that you mean business, and because they did not  wise up and pay their debt, they are going to be taken to court and sued by a debt collection attorney who will not threaten them with a lawsuit—the experienced collection agency will file the lawsuit first, work to seize their assets attempt to secure the debt, and will pursue the debtor through judgment until the bad debt is recovered..

When it comes to dealing with a debtor that just won’t pay, there is no need to take any chances. What you need is an aggressive and proactive attorney with experience in debt collections in Massachusetts. You need Attorney Alan M. Cohen by your side. If you don’t want to keep running around in circles, get in touch with the Law Offices of Alan M. Cohen LLC. today at (508) 620-6900 or email us at acohen@collections-law.com.

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