How to select a debt collection agency safely

Top debt collection law firm options? Avoid Confrontation and Manipulation. Attempt to find out if the debtor’s excuse for not paying is legitimate. For example, if the person blames the non-payment on someone else, confirm this is true or false by contacting the other person. Listen carefully to what the person is telling you, and get a sense of whether the person is being honest with you. Often, your gut feeling will be right on.

Make 401(k) and HSA Contributions: People can make tax deductible contributions to traditional IRAs up to April 15 of next year. However, the door closes on Dec. 31 for 401(k) and health savings account contributions. “It’s a hard stop,” says Wendy Barlin, a Los Angeles-based CPA and author of “That’s Deductible!: Simple Tips and Tricks to Find More Business Tax Deductions.” “Whatever opportunities you have at work (for retirement savings), make sure you maximize them before the end of the year,” she says. Taxpayers with a qualified high-deductible family health insurance plan can deduct up to $7,000 in contributions to a health savings account. Individuals with self-only coverage can deduct $3,500. Those age 55 or older are eligible for an additional $1,000 catch-up contribution. Tax deductible contributions to a traditional 401(k) are capped at $19,000 for 2019. Workers age 50 and older can make an additional $6,000 in catch-up contributions.

In no circumstances should you make any exceptions for good clients? However, if a client has a large amount due, you increase the repayment days. Prioritize your calls based on the amount that is due and how the client responds to you regarding the payments. A client who fails to respond can directly be handed over to a collection agency or a law firm. Denying a product or service that your delinquent client requires is your leverage with them. If you provide your clients with something that they need, you must retain the delivery of any other products until they pay or make better payment arrangements. Another great way to get paid for the products or services is to make the future shipment to the client in “COD” Cash-On-Delivery in advance so that the due balance of the client gets paid. Discover extra info on Hire a Debt Collection Law Firm.

Once you have been served, that triggers the deadline to file an answer, a written response to the lawsuit that gets filed with the court. If the lawsuit is filed in a justice of the peace court, the answer deadline is calculated by adding ten days to the day you were served and going to the next Monday after those ten days. If the lawsuit was filed in county court or district court, the answer deadline is calculated by adding twenty days to the day you were served and going to the next Monday after those twenty days. Failing to timely file an answer may result in a loss of possible defenses in the lawsuit and/or a judgment being entered against you.

How much does a collection agency charge? Contingency Option: Our collection agencies will provide quotes based on what is referred to as a placement rate. The placement rate charged is typically 15-60% and is contingent on the debt being collected. Flat fee Option: A one-time fee ranges between $5-$15 fees depending on what needs to be done to the account. See even more details on here.