Small Business Debt Collection Laws

In your small business debt collection laws will eventually become important, as your debt grows and some clients do not pay. To collect small business debts legally, you must send a written notice that collections have begun, within five days of first contacting the debtor for collections. The letter must include dispute instructions.

Small Business Debt Collection Laws Forbidden Practices

- Collect any amount beyond the actual debt, unless you really can do so legally.

- Continue collections on a debt if the debtor has disputed the debt, unless you provide the debtor with written proof.

- Continue contacting the debtor if within 30 days of first contact, the debtor disputes the debt.

- Credit a payment the debtor has made to a non-disputed debt to a debt the debtor has disputed.

- Deposit a post-dated check before the post-date.

- Small Business Debt Collections Laws: What You Can't Say

- Give a false name.

- You are an attorney or government representative, if you are not.

- You have an attorney working for you or that you are going to assign the case to an attorney, if you really do not.

- The debtor has committed a crime, unless you are 100% sure they have.

- You work for a credit bureau, if you really do not.

- The debt is more or less money than it actually is.

- You are sending or have sent legal forms when you really did not.

- You are sending or have sent papers that are not legal forms, if they really are legal forms.

- The debtor will be arrested--no one is arrested for nonpayment of debts anymore.

You will seize, garnish, attach, or sell the debtor's property or wages, if you do not really intend to or cannot legally do so (and unless the debt is secured with collateral, you probably cannot).

You will sue or take other legal action, if you do not really intend to, or are not legally able to do so.

Small Business Debt Collection Laws Forbidden Third-Party Disclosures

Never:

- Give any credit-related information that is not 100% accurate. Tell anyone other than the debtor that you are collecting a debt.

- Telephone any number other than debtor's more than once.

Small Business Debt Collection Phone Calls

Never:

- Call after 9 pm or before 8 am.

- Forget to give your name and your company's name.

- Call repeatedly or in a way intended to annoy.

- Make a collect call.

- Make any threats.

- Use profane or obscene language.

- Leave a message that reveals this is a debt collection.

Small Business Debt Collection Mailing

Never send:

- Postcards.

- Envelopes or mailings with any reference to debt collection on the exterior.

- Anything that looks like an official, legal, or government document, if it is not.

These simple small business debt collection laws guidelines should help stay with the collection laws.

If you want to learn Collection Laws, then visit http://www.debt-collection-laws.com for the latest information on debt collection laws and collection agency regulation.

---

Facts About Starting Elderly Group Home Businesses

There's been a recent rise in the number of elderly... Read More

9 Things You Must Do To Maximize Your Chances Of Obtaining A Small Business Loan

To get approval for your small business loan application, you... Read More

Hiring A Virtual Assistant Can Help Your Business Grow

Are you a home or small business owner and you're... Read More

Is a Small Business Web Site a Wise Investment?

One of the greatest pitfalls in e-commerce is Field of... Read More

Youll See It When You Believe It - Growing Your Business from the Inside Out

What unspoken message are you sending your clients and customers?... Read More

City Wide Garage Sales: Hidden Riches!

Most of us remember going to at least one garage... Read More

5 GREAT WAYS to Gain New Contacts

What are the 5 best ways to gain new contacts?There... Read More

Do You Need Accounting Software for Your Small Business?

If you're anything like me then you dislike with a... Read More

The Number of Pages in the UFOC in Franchising is Still Growing Today

Today required franchise disclosure documents are over 200 pages generally.... Read More

A Small Business Must Have a Solid Foundation

We all know that a building has to have a... Read More

Why Small and Medium-Sized Businesses Should

As the owner or an employee of a small-to medium-sized... Read More

Dont Wait - Sell The Future Now!

Just as you are about to say "good-bye" to your... Read More

Small Business Grants - Tips from the Pros

Every business starts with an idea or a dream. To... Read More

Does Your Small Business Marketing Suffer From The Bulldog Effect?

If you're an entrepreneur responsible for your own small business... Read More

Entrepreneurs Ask: What Can a Virtual Assistant Do For Me?

Great question!Freeing your time is an indisputably key element in... Read More

Small Businesses with BIG NAMES: Protect Your Trademarks and Reap the Rewards

You're a small business owner with a hot new product... Read More

Postcard Marketing ? Low Cost Visibility

You need to be visible to attract customers, right? But... Read More

Small Business Pricing Strategies

TACTIC #1 -- Never simply slash your prices, unless you're... Read More

7 Tips To Improve Your Cash Flow

Cash is King?That is what everyone tells us and it... Read More

Shopping For a Franchise

Shopping for a franchise is easy if you know what... Read More

4 Areas Where Your Business is Losing Money

In my 18 years of consulting I have heard it... Read More

Marketing Your Small Business with Success Stories

-- The One Pager Shortcut Series --An effective and compelling... Read More

So What? How to Elicit Benefits from Features

"So what?" is a lovely question.It can lead to a... Read More

The Franchisors Heavy Load

Why are we over regulation the franchising industry, what purpose... Read More

Never Burn a Bridge

Why should you always maintain a good report with a... Read More

Wichita KS; Anything is Possible in Wichita Business

Just when the entire state was kissing Wichita goodbye, economically... Read More

Collection Agency Selection

Frankly, given the legal and regulatory requirements involved in attempting... Read More

Direct Mail - For Small Businesses

We hear a lot of talk about junk mail nowadays.... Read More

Setting Up a Pressure Washer Rig to Clean Concrete

Maximum efficiency in the cleaning industry is a key to... Read More

Small Business Owners - Form a Relationship with Your Bank Manager

It's just like a marriageTo expect a bank manager or... Read More

11 Things Small Business Owners Can Learn From Tiger

1. There Are No "gimmes" ? They count two-foot putts... Read More

Due Dilegence 101 Or What You Do Not Know Can Kill You! - Part 1

Introduction: This article is written as a general discussion on... Read More

Small Business Security No Passing Fad

How careful are you with the data you collect from... Read More