Ultimate Solutions For Your Business Debt

Are you tired of fearing bankruptcy, now or in the future? If yes, then we are here to help and guide you through the process. In addition, we will help you to avoid debt-related problems of your successful business.

Due to the tremendous costs of modern times, it is challenging to begin a business without obligation. If you’re stuck in an unhealthy debt, it may lead you to bankruptcy, now or in the future. If you have a healthy debt, i.e., you do not fear bankruptcy, we will address specific preventive measures for you in the latter section to keep it that way.

So, without wasting any time, let’s get into it!

What Is Business Debt Consolidation And Is It Good For You?

Business debt consolidation is when you take multiple loans and combine the debt into one loan category. This leads to lower interest rates, lower monthly payments, and more favorable payoff terms.

A person may acquire multiple loans for the betterment or expansion of his business. Being in business for few years, he might have a proven business record that qualifies him for a loan he could not get before. Thus, he can consolidate his business debt.

Should you consolidate your business debt? Absolutely. Even if you’re efficiently managing multiple loans and cash flow, you will save money through business debt consolidation, as it has numerous benefits discussed in the later section.

How To Handle Commercial Debt Collection?

When a business has a payment due to the outstanding debt, the creditor will acquire the amounts. Suppose a company fails to pay within 90–120 days, then the creditor will assign (i.e., sell the debt to a third party), sue, or sell the debt to a debt collection agency. In either way, a reputable law firm will assist you in providing business debt help.

Fair Debt Collection Practices Act (FDCPA) is a federal law that protects the debtors by prohibiting the harassment done by the collectors. Unfortunately, it does not apply to commercial debt collectors. However, business debt collectors are subject to regulation.

Commercial Collection Agency Association (CCAA) supervises the activities of the business debt collectors. A reasonable business debt defense attorney familiar with commercial debt collection laws can easily recognize a violation of the law.

What Is A Debt Collection Defense Attorney?

A debt collection defense attorney is a lawyer you turn to when the creditor or a collection agency files a lawsuit against you for the unpaid loan. Debt collectors and original creditors attempt to collect more than the consumer’s loan before default. It is because they are familiar with the notion that consumers are unaware of their rights.

For example, you may owe a debt of $10000, but the creditor adds up the interest and miscellaneous charges demanding $18000. Business owners often pay more than they originally owed in the absence of a reasonable business debt defense attorney.

If you’re receiving threats or facing lawsuits by collectors, you may be confused and scared by the technical terms of the law. Reputable law firms will make sure to take fear and intimidation out of the process and effectively provide business debt help. Everything said by the collectors is not 100 percent accurate so protecting the consumer’s interest is the primary goal.

Should You Hire A Lawyer For Debt Settlement?

If you’re struggling to pay your loans, you might be wondering whom to hire for help in negotiations with the creditors. You have two options in this regard; option a is to hire a lawyer, and option b is to employ a debt settlement company. In almost every case, it’s better to hire a legit attorney of a law firm rather than a debt settlement company.

Debt settlement companies claim to talk the creditors into settling the debt for a measly sum. At first, they’ll tell you to stop making payments to the creditors to execute the negotiation process. Later they’ll ask you to make payments to them (which would otherwise have gone to the creditors) while they’re negotiating with the creditors.

Debt settlement company won’t tell you the downside of using their services. These downsides include:

· Downside#1: Your debt grows.

· Downside#2: Your creditors might not settle.

· Downside #3: Debt settlement fees are typically high.

Contrary to all this, a reputable lawyer will:

· Defend you if you get sued.

· Look over all of the available options with you.

· Protect your rights and interests in every situation.

Thus, hiring a lawyer for debt settlement is a decision that has no regrets.

Self-Help And Coping Measures

If you’re running a successful business and are planning to avoid debt-related problems in the future, then there are specific points which we’ve summed up for you: