The last thing you want to happen is to owe money. If you are in debt and can’t pay it back, one of your options may be to borrow money from a money lender. If You Don’t Pay You Debt Collector, Debt collectors will use various tactics that could make things difficult for you if they need the money owed. There are thousands of reasons why we don’t have enough cash on hand, but this article will address some of the common ones.
If f You Don’t Pay You Debt Collector, They will continue to harass you.
If you don’t follow your repayment schedule or pay your debts on time. The collectors will contact you either by phone or email. They may also make threats of legal action, which could include taking money from your paycheck or freezing bank accounts. If your debt collector continues to contact you, you might experience the following:
- You might feel that you are being attacked or bullied by someone who is trying to take away money from you.
- You might worry about how uncomfortable it would make a family member if they were contacted too.
Suppose one of these collectors has already threatened legal action against you for not paying back what was owed. And they succeeded in obtaining a judgment on your property such as wages, bank accounts, or real estate. In that case, this could lead to even more harassing phone calls and letters demanding payments.
The best thing for people in debt like yourself is often just paying off the amount due. Because going into arrears can quickly escalate things so much worse.
You can be sued for the money owed.
The second worst thing that can happen is a lawsuit. This means you would be taken to court, and the judge listening to your case may decide in favour of the money lender.
In his ruling, he might order for you to pay back what was owed. Plus any accrued interest on top of it. As well as punitive damages which are assessed against individuals who refuse or neglect their legal responsibility.
Thus, making things even worse because now there’s this added amount due with no way out but paying off all these fees!
Your wages could be garnished.
Another thing that can happen is that the moneylender might try to garnish your wages or seize your bank account. This means that they will take part in what you earn each month in order for you to pay off the debt. Which can be really frustrating and stressful.
A garnishment is an option because if a court orders this, it means the creditor has given up on getting repaid in any other way. This takes away from one’s living expenses as well, making it more difficult to get out of debt.
However, seizing someone’s bank account usually only happens when there are very few funds in their account and may not always happen at all!
You might get arrested if it’s a criminal matter.
If you don’t pay your debts, you could be arrested and taken to jail. It might happen if your debt is due to some sort of criminal activity, like fraud or theft. As much as possible, try to avoid this from happening. Not only will it put a bad marking on your records, but it can also hinder you from applying for other loans.
In most cases, borrowers won’t be sent to jail just because they didn’t pay their debts. Like what we’ve mentioned earlier, this will most likely happen if illegal activity is involved.
The debt collector could also sue you in small claims court.
The debt collector could take you to small claims court. They would need to prove that the money is owed and that they were doing their job as a debt collector by trying to collect it from you.
You’ll first want to talk with your attorney about what may be best for your particular situation before going any further. The way in which this will work can vary depending on where you live, so it’s important for us all not just assume anything!
What Can I Do to Avoid All These?
It is best to work out an agreement with the debt collector before things escalate. You may want to contact your attorney for advice and assistance in this matter, as well. Before you get your attorney involved, here’s what you can do:
- Make a payment arrangement with your debt collector, even if you can’t afford to pay in full. It’s better than getting sued for money that is owed!
- Keep all your records of contact between yourself and the debt collector. As this will help prove your case if you are required to go to court.
- Don’t ignore them; they are doing their job by trying to collect from you. So make sure they know when payments have been made or not. Ignoring correspondence could be considered an admission of guilt. That any lawyer worth his salt would use against you during trial proceedings.
Don’t let it reach this point. Work something out and avoid these messy legal entanglements – being sued isn’t fun!
You have every right not only to refuse payments but also to any communication with them! This can make it easier on both of you so they can focus their attention elsewhere while you take care of what’s most important- your money and financial stability. If there was no contract (i.e., verbal or written) between you, then stating that should be enough for the collector to cease all efforts at collecting from you; if they continue without such knowledge, do not hesitate to take further action by