How Bankruptcy Attorneys Protect You From Debt Buyers

Americans are in debt and there is little most of them can do to get out of it. Unfortunately, this means a large number of people are facing what is known as debt buyers. In these instances, it is important to talk to a bankruptcy attorney to avoid the aggressive stance of these bill collectors.

Debt Buying Is Big Business

Debt buying occurs when banks or other creditors sell a large amount of past due debt to a collector. These collectors get the legal right to pursue this debt and collect on it in any way they see fit. The frightening thing about this situation is that this market is very lightly regulated and information is very rarely vetted before it is sold.

As a result, it is possible for people to get hounded by an aggressive and mean-spirited debt buyer that will do anything they can to collect. Threats of imprisonment, lawsuits, and more are all common. While many debt buyers are happy to settle at a reasonable price, others will hound their debtors and behave in a cruel manner.

Complications Due To Statute Of Limitations

Due to the relatively unrestricted nature of debt buyers, it can be confusing to sort through these types of cases. For example, the statute of limitations on collecting debt is usually set by most states at a reasonable number of years. This limitation is designed to protect those who cannot pay their debts from usurious conduct by debt collectors.

Unfortunately, there are many conditions in which debt buyers get around these claims. How is this possible? Usually because the debt time-frame resets when they buy it from somebody else. So a debt buyer could find a case that is just about to expire and buy it to reset the limitations. That's why getting around this situation may require declaring bankruptcy with a lawyer.

How Bankruptcy Lawyers Can Help

Anyone being hounded by a debt buyer should talk to a bankruptcy attorney right away. These specialists are skilled at identifying ways in which a person can get away from their debt with a minimum amount of damage to their credit. Having a person represent you in court is a wise decision because they can sort through complicated testimony and ensure everything goes your way.

The complexities of bankruptcy laws also mean that it is quite easy to make a mistake when filing. A person may accidentally fail to declare bankruptcy on a certain piece of debt and find it staring them in the face just a few years down the road. With the help of a good bankruptcy attorney, this is less likely to happen.

So anyone facing a debt that can't pay and looking at a potential lawsuit needs to contact a bankruptcy attorney right away. They can save you from the dangers of debt buyers and avoid the kind of credit damage that can cripple your future.