Creditor Collections

Creditor Collections

creditor collection

Creditor Collection Attorney

With the economic downturn, many banks and businesses are having difficulties collecting on money owed for loans, credit card balances and other past-due accounts. Often, these situations require more than creditor collection letters; they require a strong legal advocate who will take action to protect the interests of your business.

At the law office of Attorney Chad B. McKay, we provide strong representation for a wide range of creditors’ rights issues. Creditor collection is a main facet of our practice. We will provide thorough and efficient attention to your case, taking the necessary steps to collect on past-due accounts. Depending on the situation, this might also include repossession, eviction or foreclosure actions, garnishing wages, executing (selling) property, or representing the interests of your business if the debtor files for bankruptcy.

What are Creditor’s Rights?

Creditor’s rights are the procedural provisions designed to protect the ability of creditors – persons who are owed money – to collect the money that they are owed. These provisions vary from one jurisdiction to another, and may include the ability of a creditor to put a lien on a debtor’s property, to effect a seizure and forced sale of the debtor’s property, to effect a garnishment of the debtor’s wages, and to have certain purchases or gifts made by the debtor set aside as fraudulent conveyances. The rights of a particular creditor usually depend in part on the reason for which the debt is owed, and the terms of any writing memorializing the debt.

Creditor Collection Priority

Creditor collection rights deal not only with the rights of creditors against the debtor, but also with the rights of creditors against one another. Where multiple creditors claim a right to creditor collection against a particular piece of property, or against the debtor’s accounts in general, the rules governing creditor’s rights determine which creditor has the strongest right to any particular relief. An experienced creditor collection attorney, such as Chad B. McKay, can help creditors protect their creditor collection rights.

Generally, creditors can be divided between those who “perfected” their interest by establishing an appropriate public record of the debt and any property claimed as collateral for it, and those who have not. Creditors may also be classed according to whether they are “in possession” of the collateral, and by whether the debt was created as a purchase money security interest. A creditor may generally ask a court to set aside a fraudulent conveyance designed to move the debtor’s property or funds out of their reach.

Call Chad B. McKay today at (801) 621-6021 for efficient, personalized legal service regarding creditor collection.