Collections

What’s the difference between pre-judgment and post-judgment collections?

There are several options for collecting commercial debts. The best choice will likely depend upon a variety of factors. The first question to ask is whether it is: Do you seek a pre-judgment writ of attachment before court judgment, or do you wait for the court judgment, which means it is a post-judgment collection? The benefits of a pre-judgment...

When is it time to go to court for your debts?

The time to pursue your debt collection in a courtroom is when you've exhausted every other method. However, going to court can be costly, and going through the court system requires you to take specific steps: Step 1 find the proper courtroom Depending on the size of the debt in question, you must file in a different venue. In California, if your debtor...

Three types of debtors and how to deal with them

If someone owes you money and you are having a hard time collecting on the debt, knowing that person's tendencies is a good first step to a successful collection effort. Here are three common debtor profiles and a few tips for how to address the unique challenges they present. The missing person Some debtors seemingly vanish into thin air. They don't...

Three debt collection mistakes to avoid

Collecting on past-due accounts is difficult enough without making preventable mistakes. Three things business owners and accounts receivable professionals should try to avoid include: Waiting too long In California, the statute of limitations on collecting debts is four years for breaches of written contracts. If you let that time pass without taking...

Getting the details right when filing for Abstract of Judgment

Winning a money judgment in court is oftentimes only the first battle in the longer war of collecting a debt. If the debtor still is unable or unwilling to satisfy the debt, you may need to file for an Abstract of Judgment, a legal instrument that will place a lien on any real property the debtor owns or attempts to purchase in the future. An Abstract of...

How can I collect if all of the debtor’s assets are in a trust?

Debtors have tried everything under the sun to try to hide and protect their assets from the people that they owe money to. Most of these methods fail – such as when they try to give away assets to avoid collection. Other times, the situation becomes a bit more complex, such as when the debtor’s assets are all in the name of a trust rather than in their...