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CA Lawyer
CA Lawyer, Attorney
Category: Bankruptcy Law
Satisfied Customers: 1655
Experience:  Bankruptcy Attorney
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What happens when a business sends a debit to collection to

Resolved Question:

What happens when a business sends a debit to collection to a lawyer?
Submitted: 8 years ago.
Category: Bankruptcy Law
Expert:  CA Lawyer replied 8 years ago.
Typically, the lawyer will first send you a demand letter asking for payment of the debt and may offer some settlement amount or payment arrangement.

If there is no response to the demand or no adequate settlement arrangements made, the lawyer will generally prepare a lawsuit and sue you for the amount owed, plus attorneys fees, if they are entitled to them.

If they win the lawsuit, they will obtain a judgment and can start trying to levy on your bank accounts, garnish your wages, or take other legal collection actions.



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Customer: replied 8 years ago.

Would the lawyer genreally put in info about suing in the demand ltr?

Expert:  CA Lawyer replied 8 years ago.
Yes. Usually, they will say that if you don't respond in a certain time fram that they will commence legal action.

However, they aren't required to notify you of a lawsuit before its filed.
Customer: replied 8 years ago.
What is they don't offer you a payment arragement?
Expert:  CA Lawyer replied 8 years ago.
They aren't required to offer you any payment arrangement.

They are entitled to bring a lawsuit if you are in default.

If they don't offer you a payment arrangement, you could contact them and see if they would accept a payment arrangement.


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