The creditor needs to consider the costs involved with pursuing a judgment. Even when attorney fees are contingent upon recovery, additional expenses include court costs and in some cases third party services for investigators, consultants and experts. Further, the creditor should consider the potential expense of defending a counterclaim. Another issue to be considered in deciding whether or not to pursue a judgment is the likelihood of a recovery from the debtor once you obtain your judgment. Whether or not the debtor is solvent is obviously an important factor in determining the likelihood of a successful collection after judgment. However, sometimes it is very difficult to assess the debtor's true financial picture when the collection problem first materializes. Finally, a creditor must always consider the risk of losing regardless of the how valid his claim may be.

Collections-Creditors Rights Sub-categories

Chex Systems Collections Creditor Remedies in Bankruptcy Debt Collections Enforcement of Judgments Fair Credit Reporting Act

Fair Debt Collection Practices Act Identity Theft Mortgage Foreclosure Non-Judicial Remedies Secured Transactions Types of Creditors