You have worked hard to build your business, but unpaid invoices can quickly choke cash flow. Phone calls and reminders may not work, and at some point, many Georgia business owners must decide whether to hire a collection agency or a collections attorney.
Debt Collection Laws in Georgia
Georgia businesses must navigate strict rules when collecting debts. Violations of the Fair Debt Collection Practices Act (FDCPA) can lead to costly penalties, including damages and attorneys’ fees. Whether you choose an agency or an attorney, compliance with the law is essential.
How Collection Agencies Work
Collection agencies often rely on persistence and repetition. They typically contact debtors by phone, send letters, and email reminders. Agencies may also file negative credit reports, creating pressure for payment. This approach is generally most effective when you have a large volume of accounts with small delinquent balances.
How Attorneys Collect Debts
Attorneys can do everything an agency does, but with added authority. When a business hires a collection attorney, it indicates that legal action may follow. Attorneys can file lawsuits, secure judgments, and utilize powerful remedies such as wage garnishments, tax liens, or bank levies. These tools often make attorneys a stronger option for larger, more serious debts.
When to Choose an Attorney Over an Agency
If your business is facing one or two major delinquent accounts that cause significant hardship, an attorney is usually the best choice. Agencies are generally effective for recovering smaller sums in bulk, but attorneys bring the legal authority needed to compel payment in court.
Speak With an Experienced Atlanta Collections Attorney
Unpaid debts can strain any Georgia business, but you do not have to navigate the process alone. At Thrift McLemore, our Atlanta collections attorneys evaluate the legal merits of your claim before taking action, saving you time, money, and frustration. From statutory compliance to courtroom enforcement, we help Georgia businesses recover what they are owed. Call us today at 678-882-0830 to schedule a consultation.
