I’m Calling My Lawyer: 4 Clears Signs You Need a Debt Collection Lawyer

Are you considering hiring a debt collection lawyer but not sure whether it’s the right thing to do?

If you’re in this situation, one thing is clear: you have a debt you’re yet to clear. Perhaps it’s a car loan, student loan, or a personal loan you took out from your local bank.

You’re probably also in some form of financial pressure; otherwise, you would have already paid up what you owe.

Hiring a debt collection attorney is a big step. These professionals don’t offer free services, so you’ll compensate your lawyer accordingly. Is this what you want to do when you’re already struggling financially?

Certainly not, but there are instances when it’s super important to go ahead and hire the lawyer. In this article, we’re sharing clear signs you need to lawyer up.

Read on!

  1. Your Creditors Have Sued You/Threatening to Sue

You’re going about your day minding your own business when somebody shows up to your home or office and hands you a letter: you have been served!

A creditor can sue you when you default on your loan and they have no means to recover their money. This is usually a last-ditch effort and happens when the debtor owes a substantial amount of money.

Either way, if you’ve been sued by a creditor, don’t think twice about hiring a debt collection attorney. This professional will advise you on how to proceed and file a response on your behalf.

On your own, you won’t know what to do next, unless you’re a lawyer. You might even end up ignoring the lawsuit, which will likely result in a default judgment against you.

If you’ve not been sued but your creditor is threatening to sue, don’t take the threats lightly. It’s much easier and cheaper to settle a debt issue out of court. Going to court is expensive because you’ll have to pay a lawyer, and you’ll certainly end up paying your creditor.

Hire a debt collection lawyer to get in touch with your creditor and try to work out an agreement before things escalate.

  1. You’re Unable to Repay Your Debts

Being in debt isn’t a bad thing. It’s through credit that most of us make ends meet and acquire big-ticket items like a car or a house. If it’s any consolation, the average American owes about $90,000.

However, one fixed thing about loans is they must be repaid. If you’re unable to repay yours, there will be consequences. Your credit score will sink and the lender will pursue aggressive ways to get their money back.

You can prevent all that by being proactive.

When you’re unable to repay a loan, don’t start playing hide and seek with your lender, hoping that your finances will improve so you can pay up. Get in touch with the lender and try to work out an alternative repayment agreement.

But since you probably don’t have the expertise to work out an agreement with your lender, it’s best to request legal help. Debt collection attorneys know what it takes to get your lender on the negotiation table and get them to agree on a new repayment plan.

That being said, it’s important to consider the amount of money you owe before hiring a debt lawyer. If it’s a small amount, you probably don’t need the services of a lawyer. You might end up paying them close to or more than you actually owe, which doesn’t make any sense.

  1. Debt Collectors Are Harassing You

When you default on a loan, one of the things that will happen is your lender will sell your account to a debt collection agency. The agency has a responsibility to get you to pay up.

Now, unless you live under a rock, you’ve probably heard of horror stories involving debt collection agents. These guys have a habit of hounding down borrowers, calling relentlessly.

If you’re not conversant with the law, you might think that this behavior is normal and acceptable. It’s not.

There’s the Fair Debt Collection Practices Act protects you from abusive collectors.

For example, a debt collector should not contact you before 8 am or after 9 pm. They cannot call your place of work looking for you. They can’t threaten or talk to you in a foul language.

If you feel that a debt collector is infringing on your rights, it’s time to hire a debt collection the lawyer. Once you have hired the lawyer, all communication will go through them, so the collector cannot directly contact you again.

If you have evidence of a debt collector violating the law, your lawyer can go after them in a court of law.

  1. You Have Debts You Don’t Know About

If you have a couple of loans, you’re certainly aware of all of them. 

But suddenly, someone contacts you saying you owe them money. Maybe it’s a payday loan company saying you took out a payday loan and you haven’t repaid it.

It’s not uncommon for lenders to contact consumers regarding loans they don’t know about. Many a time, this is a mistake they’ll quickly rectify once they realize they’re on the wrong. However, there are times when a creditor will insist you owe them, even when you don’t.

If you’re being contacted about a loan that’s not familiar to you, hire a debt collection attorney. Your lawyer will defend you and even sue the purported creditor for infringing on your rights.

Know When to Hire a Debt Collection Lawyer

Debt collection is a normal practice. And there’s nothing wrong about being in debt.

However, sometimes debt collectors can be unfair or even break the law. Knowing when to hire a debt collection lawyer will make a big difference in your life. This professional will defend you, ensuring your rights are respected.

All the best and keep reading our blog for more tips and insights.