The Importance of Giving Credit for Payments in Debt Collection Cases

Image of a calculator and invoice to represent giving credit for debt collection payments.The importance of giving credit for payments made can not be overemphasized when it comes to debt collection. The improper allocation of credits and payments will directly affect your claim and recovery.

Failing to give credit for payments when credits are due will extend the life of your debt collection case. It can also, in some instances, cause you to forego recovery of your NY debt collection claim. Continue reading “The Importance of Giving Credit for Payments in Debt Collection Cases”

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How an Incorrect Business Address Can Lead to a Default Judgment

Photo of a blank envelope to represent incorrect address default judgmentDon’t forget to double-check to see if the address on file with the New York Department of State for your company is correct. An incorrect address can lead to a default judgment. If your address is incorrect, you won’t receive notice of a pending lawsuit. That lack of notice can lead to a default judgment.

A client contacted us to vacate a default judgment entered against her company. Not only did the client claim she paid most of the debt, she swore the company never received notice of the lawsuit.

It turns out, she was right!

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How an Exaggerated Mechanics Lien Can Harm Your Debt Collection Case

An image of tools to represent an exaggerated mechanics lien.After improving the value of real estate and not getting paid, you filed a mechanics lien. Because you believed you were entitled to more, you filed the exaggerated mechanics lien for more than owed to you under the contract.

Due to this additional amount, the lien is now “exaggerated.” According to New York Lien Law Section 9, your mechanics lien should represent the unpaid amount of labor or materials. Therefore, exaggerated liens harm the recovery of your New York debt collection case.

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