A very important part of our practice at Bornstein Oppenheimer, PLLC involves assisting our business clients in their commercial debt collection efforts. Our office in Louisville serves as a central location for coordinating the collection activities of our clients throughout Kentucky and Southern Indiana. If you are having collection difficulties, we can represent you in any state or federal court in Kentucky, or in federal courts in Indiana. We have extensive experience working with all types of commercial lending enterprises in devising strategies to recoup bad loans and overdue debts. We are familiar with the latest and most advanced debt-collection techniques and technologies used in the collection of bad debts.
In general, a debtor is anyone who owes money to someone else (the creditor), either through a credit card, a bank loan, or a mortgage. Usually, there is a clear agreement between creditor and debtor as to how and when the debt must be repaid. If the debtor falls behind or fails to pay altogether, the creditor can refer the matter to a debt-collector or a collection agency.
In a commercial collection setting, the creditor and debtor are both business organizations, not individuals. Bornstein Oppenheimer, PLLC focuses on helping the creditor organizations recover as much of their commercial debt as possible from the debtor organization. We adhere very strictly to requirements of the Fair Debt Collection Practices Act and other government regulations governing the conduct of debt collectors.
Our clients in this area are typically creditor organizations such as banks, credit unions, financial institutions, and lending establishments that ordinarily issue business and commercial loans to other business organizations. When the debtor businesses fail to repay the loan or debt as stipulated in their agreement, the creditors generally refer such matters to us.
Some of the valuable advice our attorneys routinely give our business clients facing collection problems include the following:
- You should make an early effort to collect on the debt. The longer it lasts, the harder it will be for you to collect on it.
- Make sure you adhere to the requirements of the Fair Debt Collection Practices Act and other government regulations, or you could be severely penalized.
- Do not charge an interest rate that violates the terms of the usury laws.
- You may be able to hold the debtor liable and include attorney's fees and the costs of debt collection among the terms of the contract.
- Keep a clear and detailed record of all events and transactions for later reference and to avoid future misinterpretation. You can also submit them as evidence in court if the matter goes to litigation.
Following these guidelines will help you resolve your collection difficulties. For specific advice tailored to suit your specific circumstances, contact us today.