What Does a Debt Collection Attorney Do?

That feeling of powerlessness when a debt goes unpaid is incredibly frustrating. You’ve sent the invoices. You’ve made the calls. And you’ve been ignored. Now, you have to decide between a collection agency and a collections attorney. While an agency can keep asking for payment, they have limits and can’t take legal action. So, what does a debt collection attorney do that’s different? They use the law to compel payment. This guide breaks down how a collection agency attorney can help you recover your funds when simple persuasion isn’t enough.

Key Takeaways

• Distinguish Between Communication and Legal Action: An agency’s role is to contact debtors through calls and letters, but their power stops there. An attorney can take legal action, including filing a lawsuit and enforcing a court judgment, to compel payment.
• Consider the Financial Risk: With an agency, you often pay a fee for their attempt to collect, regardless of the outcome. With an attorney working on contingency, you only pay if they succeed, which aligns their financial incentive directly with yours.
• Match the Method to the Debt: A collection agency is best suited for numerous, smaller debts where consistent communication is likely to work. For larger, disputed, or complex debts where the debtor is unresponsive, an attorney’s ability to use the legal system is necessary.

Collection Agency vs. Attorney: Which Should You Choose?

When someone owes you money, figuring out how to get it back can be a frustrating process. You generally have two main paths: hiring a collection agency or working with a collection attorney. While both want to recover your funds, they use very different methods. Think of an agency as a specialist in communication and an attorney as a specialist in legal action. Knowing which one to call—and when—is the first step toward resolving unpaid debts and protecting your interests.

How Do Collection Agencies Operate?

A collection agency is a third-party company hired by a creditor to chase down overdue payments. But unlike a debt collection attorney, an agency lacks the legal power to enforce debts. Their workhorse tools are communication and persistence. They will make phone calls and send letters to the debtor in an effort to negotiate a payment. Because they are set up to manage a high volume of accounts, agencies are often a cost-effective choice for recovering smaller debts, like a few hundred or a few thousand dollars. The key thing to remember is that their power is limited. A collection agency cannot file a lawsuit or take any legal action if a debtor simply refuses to pay.

Common Tactics: From Letters to Skip-Tracing

Collection agencies rely on two main tools: communication and persistence. Their strategy revolves around sending a steady stream of letters and making frequent phone calls to negotiate a payment. For debtors who have moved without providing a new address, some agencies will use a method called skip-tracing. This involves searching through public records and databases to locate the individual’s current whereabouts. While these tactics can be effective for smaller, undisputed debts, they are entirely based on persuasion. An agency can ask, and ask again, but they have no legal authority to compel payment if a debtor continues to refuse.

Illegal Practices and Their Consequences

Unfortunately, some collection agencies cross the line into illegal or unethical behavior. This can include harassing a debtor with constant calls, contacting them at unreasonable hours, or even pretending to be law enforcement to intimidate them. These actions violate consumer protection laws and can create legal problems for you, the creditor. In contrast, attorneys must follow a strict code of professional ethics and can be disciplined for misconduct, ensuring they act in your best interest. If you’re dealing with a difficult debt or suspect an agency is using questionable methods, it’s time to seek legal help. An experienced creditor representation attorney can pursue the debt lawfully and effectively, protecting you from liability.

What Does a Debt Collection Attorney Do?

A collection attorney is a lawyer who has the authority to use the full power of the legal system to recover a debt. This includes filing lawsuits and garnishing wages—services you won’t get with a collection agency. While they might also start with a formal demand letter, their real strength lies in what comes next. An attorney can file a lawsuit, secure a court judgment, and legally enforce that judgment through actions like wage garnishment or seizing assets. This legal leverage makes an attorney the right choice for larger, more complex, or heavily disputed debts. When communication fails, an attorney provides the necessary legal force for effective creditor representation.

The Path of a Debt: From Creditor to Collection

When you’re owed money, the path to getting it back starts with a choice between communication and legal action. A collection agency handles the communication. They are persistent, making calls and sending letters to remind a debtor of their obligation. For smaller, undisputed debts, this consistent contact can be enough to secure payment. But their authority ends there. If a debtor ignores their calls or refuses to pay, the agency has no further recourse. They cannot file a lawsuit or take any legal steps to compel payment, leaving you right back where you started.

Types of Debt an Attorney Can Pursue

A collection attorney is the right choice when communication has failed or the debt is too significant to leave to chance. An attorney is essential for pursuing larger debts, resolving contract disputes, or collecting on secured loans where legal enforcement may be necessary. Instead of just asking for payment, a lawyer uses the legal system to demand it. They can file a lawsuit to secure a court judgment, which is a legal order confirming the debt is owed. With that judgment, an attorney can then use powerful legal tools like wage garnishment, bank account levies, or property liens to ensure the debt is finally paid.

Comparing Their Services and Legal Power

When you’re trying to recover a debt, the methods used can make all the difference. A collection agency and a collection attorney approach this task from two very different angles, primarily because of the legal authority each one holds. An agency’s power is in communication, while an attorney’s power comes from the court system. Understanding this distinction is the first step in deciding which path is right for your situation. Let’s break down what each can do for you.

What You Get with a Collection Agency

Think of a collection agency as a persistent communication specialist. Their main job is to contact the person who owes you money through a steady stream of phone calls and letters. Agencies are often hired by creditors to manage a high volume of smaller debts, typically ranging from a few hundred to a few thousand dollars. Because they aren’t lawyers, their actions are limited. They can’t file a lawsuit or take legal action on your behalf. Their effectiveness relies entirely on their ability to persuade the debtor to pay, which is a different skill set than the legal strategy involved in creditor representation. For businesses with many small, outstanding accounts, an agency can be a practical first step.

Legal Actions Only a Collections Attorney Can Take

A collection attorney, on the other hand, has the full force of the law at their disposal. While they also start with demand letters, their authority doesn’t stop there. If a debtor refuses to pay, an attorney can take them to court to secure a legal judgment. This court order confirms the debt is valid and legally owed. With a judgment in hand, an attorney can then use powerful legal tools to enforce payment, such as garnishing wages or seizing assets. This legal leverage is what makes an attorney the right choice for larger, more complex, or heavily disputed debts where simple communication has failed. If you’re facing a situation like this, it’s best to discuss your case with a legal professional.

Filing a Lawsuit and Securing Judgments

When a debtor ignores demand letters, an attorney can escalate the matter by filing a lawsuit. This isn’t just about being aggressive; it’s a formal legal process to have a court officially recognize the debt. The goal is to obtain a court judgment, which is a legal declaration that the debt is valid and must be paid. This judgment is the critical piece of the puzzle because it transforms your claim from a private dispute into a legally enforceable order. Without a judgment, you have very few options if a debtor refuses to cooperate. With one, an attorney gains the authority to pursue more powerful collection methods, a key advantage in creditor representation that collection agencies simply don’t have.

Placing a Lien on Property

After securing a judgment, one of the most effective tools an attorney can use is placing a lien on the debtor’s property. A lien is a legal claim attached to an asset, like a house or a piece of land, that serves as security for the debt. This means the debtor cannot sell or refinance the property without first satisfying the debt owed to you. It effectively freezes a major asset until you are paid. This powerful step ensures that your claim isn’t just a piece of paper but is tied to something of real value, creating a strong incentive for the debtor to finally settle their account. If you’re dealing with a significant unpaid debt, it’s worth learning how these legal tools can protect your financial interests.

How Do Their Fees Compare?

When you’re trying to recover money owed to you, comparing the cost of a collection attorney vs agency is a critical factor. Collection agencies and attorneys approach their fees from completely different angles, and the right choice for you often comes down to your financial comfort level and the nature of the debt. One path might seem less expensive at first glance, but it’s important to understand the full fee structure to see where you’ll get the most value. Let’s break down how each one gets paid.

How You’ll Pay a Collection Agency

Collection agencies typically charge for their services using a flat-fee model. You can expect to pay a fixed, one-time fee for each account you place with them, which often ranges from $15 to $25. The most important thing to understand about this structure is that you pay this fee whether or not the agency successfully collects the debt. While this can feel like a low-risk entry point, especially if you have many small accounts, you are paying for the attempt, not the result. These costs can accumulate without any guarantee of a return, which is a crucial factor to consider as you explore your options for creditor representation.

Understanding a Collection Attorney’s Fees

A collection attorney usually works on a contingency fee basis, which means their payment is directly tied to their success. You only pay if they are able to recover the money you are owed. The fee is calculated as a percentage of the total amount collected, generally ranging from 20% to 33%. This pay-for-performance model is a major advantage, as it ensures your attorney is just as motivated as you are to secure the funds. Their success is your success. While some attorneys may offer an hourly rate, the contingency structure is standard for debt collection and gives you confidence that you won’t pay legal fees for an unrecoverable debt.

Contingency Fees vs. Hourly Rates

While most collection attorneys work on a contingency basis, it’s helpful to understand how that differs from a traditional hourly rate. With a contingency fee, you don’t pay any attorney fees upfront. Instead, their payment is a pre-agreed percentage of the funds they successfully recover, meaning they are just as invested in a positive outcome as you are. An hourly rate, on the other hand, requires you to pay the attorney for every hour they work on your case, win or lose. This can lead to unpredictable costs and the risk of a large legal bill with no recovered debt. For most people pursuing a collection, the contingency model provides financial security and peace of mind. It’s always wise to clarify the fee structure before you hire an attorney to make sure it aligns with your goals.

Does Your Debt Need an Agency or an Attorney?

Deciding between a collection agency and an attorney isn’t just about preference—it’s about matching the right tool to the right job. The best path forward often depends on the size and complexity of the debt you’re trying to recover. A small, undisputed invoice requires a different approach than a large, contested debt from a debtor who has disappeared. Understanding these differences will help you choose the most effective and cost-efficient strategy for your situation.

Which Debts Are a Good Fit for an Agency?

Collection agencies are typically built to handle a high volume of smaller, straightforward debts. If you’re trying to collect a few hundred or even a few thousand dollars from an overdue invoice, an agency can be a practical first step. Their process relies on consistent communication, sending letters and making phone calls to encourage payment. Because they work on contingency and manage many cases at once, they offer an accessible way to pursue payment without an immediate, significant financial outlay. Think of them as the specialists for clear-cut cases where persistent follow-up, rather than legal force, is what’s needed to get the job done.

Signs You Need to Hire a Collections Attorney

When the debt is larger, more complex, or the debtor is actively refusing to pay, it’s time to consider an attorney. The fundamental difference is legal authority. While an agency can only ask for payment, an attorney can compel it through the court system. This is crucial for significant debts where the financial loss justifies legal action. An attorney specializing in creditor representation can send a formal demand letter, file a lawsuit to obtain a judgment, and then legally enforce that judgment through actions like wage garnishment or seizing assets. If you’re facing a situation that requires more than just phone calls, the legal tools an attorney brings to the table are indispensable.

What to Do if You’re Being Sued for Debt

While the previous sections focused on what a creditor can do, it’s just as important to understand your rights if you’re the one being sued. Receiving a lawsuit notice can be incredibly stressful, and your first instinct might be to ignore it and hope it goes away. However, this is the single worst thing you can do. Ignoring a lawsuit doesn’t make the problem disappear; it actually gives the creditor an automatic win and takes away your chance to defend yourself. Facing the situation head-on is the only way to protect your rights and your finances. Understanding what happens when you don’t respond is the first step toward taking control.

Why You Should Never Ignore a Lawsuit

When you fail to respond to a lawsuit within the legal time frame, the court can issue a “default judgment” against you. This is a legal ruling in favor of the creditor, made without hearing your side of the story. The court essentially assumes that because you didn’t answer, you don’t dispute the debt. This judgment gives the creditor powerful legal tools to collect the money they claim you owe, and it strips you of the opportunity to present any defenses you might have, such as an incorrect debt amount or an expired time limit for collection. It’s a critical misstep that can have lasting financial consequences.

Long-Term Consequences: Wage Garnishment and Bank Levies

Once a creditor has a default judgment, they can begin taking serious collection actions. They can pursue wage garnishment, which allows them to take a portion of your paycheck directly from your employer before you even see it. They can also seek a bank levy, which freezes your bank account and allows them to withdraw funds to satisfy the debt. In some cases, they can even place a lien on your property, making it difficult to sell or refinance until the debt is paid. These actions can have a devastating impact on your financial stability, making it crucial to respond to a lawsuit from the start.

Understanding Your Legal Defenses as a Debtor

Just because a creditor is suing you doesn’t mean they automatically have a winning case. As a debtor, you have legal rights and potential defenses that can be used to challenge the lawsuit. An experienced attorney can review the details of your case to see if the creditor has met all their legal obligations. Sometimes, the debt itself is invalid, or the company suing you has violated the law. Exploring these defenses is a critical part of protecting yourself and can sometimes lead to the case being dismissed entirely. It’s wise to review all your legal options across different practice areas to build a strong defense.

Is the Debt Too Old? The Statute of Limitations

Every state has a law called the “statute of limitations,” which sets a time limit for how long a creditor can legally sue you for an unpaid debt. If the creditor files a lawsuit after this time limit has expired, the debt is considered “time-barred,” and you may be able to have the case dismissed. These time limits vary by state and the type of debt, so it’s not always easy to figure out on your own. A lawyer can determine if the statute of limitations applies to your situation, which can be a powerful and complete defense against the lawsuit.

Challenging the Proof of Debt Ownership

The company suing you has the legal burden to prove that you actually owe the debt and that they have the legal right to collect it. This is especially important when debts have been sold and resold to different collection agencies. The plaintiff must provide clear documentation, like the original signed contract, to validate their claim. If they can’t produce this proof, or if there are errors in the paperwork, a lawyer can challenge the lawsuit on your behalf. You have the right to demand they prove their case, and a failure to do so can be grounds for dismissal.

How a Lawyer Can Protect Your Rights

Trying to handle a lawsuit on your own can be overwhelming, especially when you’re up against a creditor’s legal team. Hiring a lawyer levels the playing field and significantly increases your chances of a positive outcome. An attorney who understands debt collection laws can identify weaknesses in the creditor’s case, ensure all your legal paperwork is filed correctly, and represent your best interests in court. They act as your advocate, guiding you through the legal process and working to protect your assets and your financial future. Their expertise is invaluable when your financial stability is on the line.

Filing a Formal Answer to the Lawsuit

The first and most critical step in defending against a lawsuit is filing a formal “Answer” with the court. This legal document is your official response to the creditor’s claims. It’s where you can deny the allegations and raise any legal defenses you may have, such as the statute of limitations or a dispute over the amount owed. Failing to file an Answer on time is what leads to a default judgment. An attorney will ensure this document is drafted correctly and submitted within the strict deadline, preserving your right to fight the lawsuit. If you’re facing a lawsuit, it’s important to contact a legal professional immediately.

Protecting Exempt Income from Garnishment

Even if a creditor wins a judgment against you, they can’t necessarily take all of your money. Federal and state laws protect certain types of income and assets from being garnished or seized. This “exempt” income often includes Social Security benefits, disability payments, child support, and a portion of your wages. However, you often have to take specific legal steps to claim these exemptions. A lawyer can help you identify which of your assets are protected and file the necessary paperwork with the court to prevent creditors from taking money that the law says is off-limits.

Exploring Alternatives to a Lawsuit

Going to court isn’t the only way to resolve a debt lawsuit. In many cases, there are alternatives that can save you time, money, and stress. A lawsuit can be a long and unpredictable process for both you and the creditor, which often makes them open to other solutions. An attorney can help you explore these options, which can range from negotiating a more manageable payment to seeking broader legal protections. These alternatives can provide a path forward that avoids a lengthy court battle and helps you regain financial control, offering a sense of relief during a difficult time.

Negotiating a Settlement

Often, a creditor would rather receive a guaranteed partial payment now than risk getting nothing after a long court case. This opens the door for negotiation. An attorney can often negotiate a settlement on your behalf, which might involve paying a lump sum that is significantly less than the total amount owed. They can also work to set up a structured payment plan that fits within your budget. A legally binding settlement agreement resolves the lawsuit and prevents the creditor from taking any further collection action, providing you with a clear and final resolution to the debt.

Considering Bankruptcy and the Automatic Stay

In situations where you’re facing multiple lawsuits or overwhelming debt, bankruptcy may be a viable option to consider. When you file for bankruptcy, the court issues an “automatic stay,” which is a powerful legal injunction that immediately stops all collection activities, including lawsuits and wage garnishments. While bankruptcy is a serious decision with long-term consequences for your credit, it can provide a fresh start and comprehensive relief from your debts. Discussing your full financial picture with an attorney can help you understand if this is the right path for your specific circumstances and what it entails.

Who Gets Better Results: Agency or Attorney?

When you’re trying to recover a debt, “effective” can mean different things. The best approach really depends on the specific debt and how the debtor is behaving. A collection agency, for instance, works on a volume-based model. They are set up to send out letters and make phone calls to a large number of people. This can work well for smaller, straightforward debts where the person might just need a nudge to pay. For them, success is about processing a high number of accounts quickly.

An attorney, however, defines success by one thing: getting your money back. We have legal tools that agencies can’t use. When a debtor ignores calls or flat-out refuses to pay, an agency’s options run out. That’s precisely where an attorney’s work begins. We can take legal action, like filing a lawsuit to get a court judgment. This legal authority is what makes an attorney the clear choice for more complicated or contested debts. Our approach to creditor representation is built on using the full force of the law to recover what you’re owed, turning simple requests into legally enforceable actions.

How Collection Agencies Define a “Win”

Collection agencies play a numbers game. Their success is built on handling a high volume of accounts, primarily using letters and phone calls to contact debtors. This approach works best for smaller debts, typically in the range of a few hundred to a few thousand dollars, where the debtor is likely to pay with a simple prompt. Because they are structured for volume, their fee model often reflects this. Some agencies charge a fixed, one-time fee for each account they take on, regardless of whether they successfully recover the debt. This means their incentive is to process cases quickly, not necessarily to see every single one through to a successful recovery, especially the difficult ones.

How a Collections Attorney Measures Success

An attorney’s success is measured by one simple standard: did we recover your money? We operate on a foundation of legal expertise and authority. While an agency’s power ends with a phone call, ours is just beginning. We can serve legal notices, represent you in court to obtain a judgment, and then enforce that judgment through legal means like wage garnishments or property liens. This gives attorneys a much higher success rate on debts that are larger, older, or disputed. Our success is directly aligned with yours, as most collection attorneys work on a contingency fee. This means we earn a percentage of the amount we actually recover, ensuring our goals are perfectly in sync with yours from day one.

Staying Compliant: The Rules They Must Follow

When you’re trying to recover a debt, the last thing you want is to create more legal trouble for yourself. The methods used by a collection agency versus an attorney are governed by very different rules and ethical standards. Understanding these differences is key to protecting your business and making an effective choice. It’s not just about who can collect the money, but how they are legally and ethically permitted to do it.

Legal Boundaries for Collection Agencies

While some collection agencies have a reputation for being aggressive, they are legally required to operate within strict boundaries. Federal laws are in place to protect consumers from harassment and abuse. For instance, debt collectors are prohibited from contacting people at unreasonable hours, which is typically before 8 a.m. or after 9 p.m. They also can’t use threatening language, call repeatedly to annoy someone, or discuss a person’s debt with unauthorized third parties, like their coworkers or neighbors. These consumer protection rules are designed to keep the process fair and prevent collectors from crossing the line into illegal practices.

An Attorney’s Professional Code of Conduct

Attorneys operate under an even stricter set of guidelines. As licensed legal professionals, we are bound by a professional code of conduct that demands a high standard of integrity and ethical behavior. This code requires us to act in our clients’ best interests while upholding the law at all times. Unlike an agency, an attorney has the legal authority to represent you in court, file lawsuits, and enforce judgments. This deep understanding of the law ensures every action taken is legally sound, which minimizes risks and provides a more secure path to recovering what you are owed. Our client-centered approach is built on this foundation of trust and professional responsibility.

How to Choose the Right Partner for Your Business

Deciding between a collection agency and a collection attorney can feel overwhelming, but it comes down to understanding your specific situation. Both have their place, and the right choice depends on the size of the debt, the complexity of the case, and the outcome you’re hoping for. Thinking through these factors will help you create a strategy that protects your business and gives you the best chance of recovering what you’re owed. Let’s walk through the scenarios where each option makes the most sense.

When to Choose a Collection Agency

A collection agency can be a practical choice if you’re dealing with a high volume of smaller debts, typically in the range of a few hundred to a few thousand dollars. These companies are set up to handle bulk accounts and primarily use communication tactics like phone calls and letters to pursue payment. If your goal is to apply consistent pressure without escalating to legal action, an agency might be the right fit. They operate on a contingency basis, meaning they take a percentage of what they collect. This can be a cost-effective way to manage numerous small, overdue accounts that might not be worth the expense of a lawsuit.

When to Hire a Collection Attorney

Hiring a collection attorney is the stronger move when you’re facing larger, more complex debts or when a debtor is unresponsive to standard collection efforts. An attorney has legal tools that an agency simply doesn’t. We can send a formal demand letter, file a lawsuit to obtain a judgment, and legally enforce that judgment by garnishing wages or seizing assets. This legal authority makes an attorney far more effective in compelling payment. Furthermore, attorneys are bound by a strict code of professional conduct, ensuring your collection efforts are handled ethically and within the bounds of the law. Our firm specializes in creditor representation and can guide you through this process.

Why Businesses Partner with Firms Like The Law Office of Chad G. Mann

Choosing a law firm for debt collection is a strategic move that goes beyond simple recovery efforts. When a debtor ignores calls and letters, a business needs more than just another request for payment—it needs legal leverage. Partnering with a firm like The Law Office of Chad G. Mann provides the legal authority to file lawsuits, secure judgments, and enforce payment through actions like wage garnishment. This power is something a collection agency simply doesn’t have. For larger, complex, or stubborn debts, this legal muscle isn’t just an advantage; it’s often the only path to a successful resolution.

The partnership is also built on a foundation of aligned interests and professional integrity. An attorney’s success is measured by a clear standard: recovering the money you are owed. This is reinforced by the contingency fee model, where you only pay if we successfully collect the debt. Furthermore, as licensed attorneys, we are bound by a strict professional code of conduct, ensuring your case is handled ethically and responsibly. This combination of legal power, shared goals, and high ethical standards is why businesses turn to a dedicated firm for their creditor representation needs.

Questions to Ask Before You Decide

Before you make a final decision, take a moment to answer a few key questions about your situation. First, what is the total amount of the debt? As we’ve seen, the size of the debt is a major factor. Second, how old is the debt, and what steps have you already taken to collect it? If you’ve already tried and failed with letters and calls, it might be time for legal action. Finally, consider your relationship with the debtor and your comfort level with different collection methods. Answering these questions will clarify your goals and point you toward the right professional. If you’re still unsure, we’re here to help you evaluate your options when you contact our office.

Debt Collection Myths vs. Reality

The biggest misconception is that collection agencies and attorneys have the same power. The fundamental difference is legal authority. A collection agency cannot take someone to court; their power ends with communication. Only a licensed attorney can file a lawsuit on your behalf. This legal leverage is often what’s needed to resolve a difficult case. While agencies are common, a collection attorney provides a more legally sound and often more effective approach, especially for significant debts. Choosing an experienced attorney like Chad G. Mann ensures your case is handled with the highest level of professionalism and legal expertise from start to finish.

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Frequently Asked Questions

What if I’m not sure if my debt is “large” enough for an attorney? It’s less about a specific dollar amount and more about the situation. If you’ve already sent invoices and reminders without success, or if the person who owes you money is disputing the debt, it’s time to consider an attorney. The key factor is whether simple communication has failed. An attorney’s value comes from their legal authority, which is necessary for any debt that requires more than just a follow-up call to resolve.

Can I use a collection agency first and then hire an attorney if it doesn’t work? While you can do this, it’s not always the most effective strategy. When an agency repeatedly contacts a debtor without success, it can make that person more difficult to locate or more prepared to fight a future lawsuit. Starting with an attorney ensures the first formal action taken is the one with the most legal weight behind it, which can often lead to a faster resolution.

I’m worried about the cost. Isn’t hiring an attorney much more expensive? This is a common concern, but it’s often based on a misunderstanding of how collection attorneys are paid. Most work on a contingency fee, which means you pay nothing upfront. The attorney’s fee is a percentage of the money they successfully recover for you. If they don’t collect, you don’t pay. This is very different from some agencies that charge a flat fee per account, which you pay whether they succeed or not.

Will bringing in an attorney ruin my professional relationship with the debtor? By the time you’re considering legal action, the professional relationship has likely already been damaged by the unpaid debt. Hiring an attorney isn’t about being aggressive; it’s about taking a formal, professional step to resolve a business problem. Because attorneys are bound by a strict code of conduct, you can be sure the process will be handled ethically, protecting your reputation while demonstrating that you take your business seriously.

What happens if the person who owes me money truly has no assets or income? This is a situation where an attorney’s assessment is invaluable. If a debtor is “judgment-proof,” meaning they have no wages to garnish or assets to seize, collecting the debt can be very difficult. However, a court judgment is often valid for many years and can be enforced later if the debtor’s financial situation improves. An attorney can help you determine if pursuing a judgment is a worthwhile long-term strategy.

What is the difference between a collection agency and a collection attorney?
A collection agency uses phone calls and letters to try to get someone to pay a debt, but they cannot take legal action. A collection attorney, on the other hand, can file lawsuits, obtain court judgments, and enforce payment through legal tools like wage garnishment. The key difference is legal authority.

Is it worth getting a lawyer for debt collection?
Yes, especially if the debt is large, disputed, or the debtor has stopped responding. A collection attorney can take legal steps that agencies can’t, giving you a stronger chance of recovering what you’re owed. Many lawyers also work on contingency, so you only pay if they collect.