How to get out of debt? This question is asked by over 2.5 million Poles who, according to the National Debt Register data from November 2018, have liabilities incurred for a total pool of dollar 45.7 billion! This group also includes people who have already declared consumer bankruptcy.
According to specialists many debtors are trying to save the situation by taking further loans and credits, and these are the worst of many possible solutions. Many loan companies, often also on the border of the law despite the client’s presence in the register of indebted persons, provide financial support, offering monstrous high interest rates. It is the sum of the summary that causes the financial loop to tighten more and more on the payer’s wallet, which is not performing well with the repayment of current liabilities. The use for the debt collection agency happens to be essential.
Debt collection company what is it about and is there anything to be afraid of?
Is the employee of a debt collection company a bailiff? Absolutely not! The most important difference between them is that there is a possibility of an amicable agreement with the debt collector and debt distribution in installments. A similar thing is with a bailiff unfortunately you can’t judge. And even if so, the debtor will face a long and stressful crossing. We wrote more about this in the articles:
Debt collector who is that? Is there anything to fear?
Secondly the debt collector is not a public official who acts on behalf of the court! So there are no such rights as a bailiff, policeman or members of the prosecutor’s office and the court. Therefore, the debt claimed by the debt collector is not a reason to cry. Quite the opposite this is a chance for a peaceful resolution of the case and a gradual exit from the spiral of debt. The creditor usually uses debt collection services to relieve his company of additional matters. It is also often more profitable to sell such a debt, which is owned by a specific debt collection company. Nevertheless, in most cases it seeks to collect the outstanding balance. How?
Before the expiry of 60 days to the payment date the debt collector calls the debtor asking for the reason for the delay. Thus, it gives you the chance to pay off your debts without incurring additional consequences, e.g. charges for sent SMS and phone calls,
After 60 days from the due date a debt collection company may:
What else can a debt collector do?
If the above actions do not bring the desired result the debt collector may submit the case to the court to initiate proceedings. The court will then examine the whole situation and order the debtor to pay the debts with all costs incurred or not. At this moment the role of the debt collection company ends and the bailiff begins its activity.