COLLECTION NOTICES
Collection notices are sent by creditors to debtors in order to notify the debtor that unless the debt is satisfied, further legal proceedings will follow. Fortunately, there are certain rules that must be followed by creditors before they can either obtain a Judgment or tarnish the credit rating of the debtor. For example, if the debt arises out of a bill that is the subject of a pending workers’ compensation claim, the creditor must stop all collection proceedings until the case is resolved. Likewise all collection proceedings must stop if a debtor has filed for protection under Bankruptcy laws.
Before a debtor answers any collection notices a consultation with an attorney is advisable especially if the debtor alleges that the bill is the responsibility of another party or challenges the basis of the debt.
