Thursday, February 15, 2024

Voluntary vs Involuntary Bankruptcy

Collection Services Michigan, Michigan Collection Services
Do you know the difference between voluntary and involuntary bankruptcy?

Some bankruptcies are filed by creditors who gang up on the debtor when payments to those creditors are substantially delinquent. This is referred to as an “involuntary petition.” On the other hand, when the debtor files a petition for bankruptcy, that’s considered “voluntary.” Involuntary bankruptcy can occur under Chapters 7 and 11, but not under Chapter 13.

If you need a summary of Chapters 7, 11, and 13 of bankruptcy, read the latest Learn More article on our website.

Navigate Debtor Bankruptcy with Collection Services in Michigan


Is your debtor filing for bankruptcy?

Since 1961, our top-rated lawyers have been dedicated to ethically pursuing the money you’re owed. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, make use of our collection services in Michigan! Call (248) 645-2440 or submit a contact form for an effective resolution to your collection matters.

Thursday, February 1, 2024

Three Common Bankruptcy Chapters

Collection Services Michigan, Michigan Collection Services
Are you familiar with the three most common types of bankruptcy?

The most common “chapters” (or types) in bankruptcy are Chapters 7, 11, and 13. A simple explanation of each chapter follows:

Chapter 7, straight liquidation: In a chapter 7 bankruptcy, the debtor’s assets are divided into two categories: exempt and nonexempt.

Chapter 11, business reorganization: Sometimes a business that’s in financial trouble will want to try to stay in business, rather than go through liquidation under Chapter 7.

Chapter 13, wage earner bankruptcy: This form of bankruptcy is similar to a Chapter 11 reorganization but is limited to wage earners or nonbusiness entities.


Navigate Debtor Bankruptcy with Collection Services in Michigan


Is your debtor filing for bankruptcy?

Since 1961, our top-rated lawyers have been dedicated to ethically pursuing the money you’re owed. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, make use of our collection services in Michigan! Call (248) 645-2440 or submit a contact form for an effective resolution to your collection matters.

Monday, January 15, 2024

Your Debtor's Customers as an Asset

Michigan Debt Collection, Debt Collection Michigan
Are you struggling to get a debtor to pay?

Your debtor’s customers, or other people/entities who may owe money to the debtor, are an asset that can be used in the collection process. This includes: 

  • Accounts receivable
  • Tenants who may owe rent
  • Insurance companies who may owe money for claims, such as any fire damage or flood losses
  • State taxing authorities who may owe a tax refund (if permitted in your state; federal tax refunds are off limits)
  • Purchasers of your debtor’s business who may still owe money on the purchase prior

When building a list of your debtor’s assets, include anything that appears to be a possible source of money. If you can identify enough assets to make you reasonably sure you’ll be able to collect the money owed to you, great! If not, consider scheduling a creditor’s examination. 

Stop the Struggle with a Michigan Debt Collection Law Firm


Do you need help with any of the steps above?

The lawyers at Muller, Muller, Richmond & Harms P.C. can help. Contact an expert Michigan debt collection law firm by calling (248) 645-2440 or submitting a contact form here.

Monday, January 1, 2024

Building a List of Your Debtor's Assets

Michigan Debt Collection, Debt Collection Michigan
Do you know how to build a list of your debtor’s assets?

When your debtor isn’t paying, you need to pursue his assets to collect your judgment. After you have a list of his assets, you can proceed with strong collection actions, including garnishment and “execution” (seizure and sale of a defendant’s assets). Start building your list by scouring your collections file for information you already have about the debtor, including:

  • Home and business addresses
  • Bank references
  • Information about significant assets, such as real estate, vehicles, and watercraft
  • Place of employment (if the debtor is an individual)

Have Questions? Call a Michigan Debt Collection Law Firm


Do you need help with any of the steps above?

The lawyers at Muller, Muller, Richmond & Harms P.C. can help. Contact an expert Michigan debt collection law firm by calling (248) 645-2440 or submitting a contact form here

Friday, December 15, 2023

Reviewing Credit with Clients

Collection Services Michigan, Michigan Collection Services
How often do you review credit information with your clients?

If a customer won’t take the time to fill out a credit application, and you choose to extend credit to the customer anyway, you can protect yourself. Make sure you interview that customer to obtain the information you need to determine creditworthiness and to use as a resource if the customer’s paying habits deteriorate. If you interview the customer by phone, keep a recording of the call (but be sure you can legally record the call under the laws of your state), or write the answers down on your standard credit application and add the completed document to the client’s credit file.

The information your customer provides is valuable when making credit determinations, but that information can be one-sided, as your customer may choose not to share unflattering information about themselves. Perhaps they conveniently forgot to mention tax liens against their assets, or maybe they “don’t remember” that they previously filed for bankruptcy protection. To balance out the possibility that some information may be false or exaggerated, obtain documentation from other sources for the purpose of verification, such as a credit report.

Problems often arise when you act without enough information to accurately assess creditworthiness. If you enforce your credit policies and get the documents you need now, you avoid problems later.

Experience Professional Collection Services in Michigan


Since 1961, our top-rated lawyers have been dedicated to ethically pursuing the money you’re owed. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, make use of our collection services in Michigan! Call (248) 645-2440 or submit a contact form for an effective resolution to your collection matters.

Friday, December 1, 2023

Keeping Notes on Credit Clients

Collection Services Michigan, Michigan Collection Services
Do you keep thorough notes on your credit customers?

You can help keep the odds in your favor by insisting on good documentation throughout the credit and collection process. Good documentation begins with a credit application, which is required before your first sale on credit to any customer.

Beyond requiring credit applications, you should periodically review credit information for all your customers. Depending on your industry and your history with the customer, you might review credit information every six months or once a year, but even with established customers, you don’t want to go beyond a two-year review schedule. In between reviews, update your customer’s credit data whenever you come across new relevant information. Have your customers complete a new credit application or make appropriate additions and deletions to the old one.

You can avoid a lot of difficulties with defaults if you monitor your clients for changes in their business and financial health. For example, if you find out that a customer’s business has new ownership, or that the owners have formed a new but similar company, it may be time to thoroughly recheck that customer. Sometimes your clients really don’t want you to find out about changes, and that’s a reason in and of itself to recheck them.

Get Results with Collection Services in Michigan


Since 1961, our top-rated lawyers have been dedicated to ethically pursuing the money you’re owed. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, make use of our collection services in Michigan! Call (248) 645-2440 or submit a contact form for an effective resolution to your collection matters.

Wednesday, November 15, 2023

Detouring Around the Disconnected Phone

Debt Collections Michigan, Michigan Debt Collections
What could possibly be worse than voicemail jail? A disconnected phone! In business, a disconnected phone is usually the kiss of death for your collections. It can be a major frustration, but the phone may not be the only way to communicate with your customer. Possible quick solutions include:

  • Emailing – Look for an email address on the customer’s credit application, letterhead, purchase orders, or website.
  • Faxing – Sometimes even when the phone isn’t working, the fax machine still works. A fax number may also appear on a letterhead, websites, or credit applications.
  • Texting – Even if your debtor’s voice mailbox is full, your contact may still accept a text message.

Muller Law Firm Specializes in Debt Collections in Michigan


If you need help settling a debt owed to your business by a debtor in Michigan, contact an experienced attorney who handles debt collections in Michigan

Let our experts handle all the work for you! Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away – get started today! We look forward to hearing from you.