Getting Collection Leads from Third Parties

Think about third parties who may owe money to your debtor. These are often overlooked but can be
valuable sources of collection. Consider:

• Accounts receivable — customers or clients who owe the debtor money for goods or services
• Tenants — anyone who rents property from the debtor and may owe rent
• Insurance companies — claims payouts the debtor may be entitled to, such as fire damage, flood losses, or auto accident settlements
• State taxing authorities — tax refunds owed to the debtor (where permitted by state law; federal tax refunds are currently off limits)
• Purchasers of the debtor's business — anyone who bought the debtor's business and still owes money on the purchase

Include anything that appears to be a possible source of money. If you can identify enough assets to feel reasonably confident you'll be able to collect, great. If not, consider scheduling a creditor's examination — a formal court proceeding where the debtor must appear and disclose their assets under oath.

Even small or unexpected assets can add up. A partial collection is still a collection.

Learn more in our latest article.

Need More Support? Call Collection Services in Michigan

If you need help tracking down assets or enforcing a judgment, our lawyers can guide you through every step of the process. Get started with our Michigan collection services by calling (248) 645-2440 or by submitting a contact form here.

Building an Effective Asset List

Winning a judgment in court is a major step — but it's only half the battle. If your debtor isn't paying
voluntarily, you need to locate and pursue their assets to actually collect what you're owed. Once you have a clear picture of their assets, you can move forward with strong collection actions like wage garnishment, bank levies, and "execution" (the legal seizure and sale of a debtor's property).

Building an effective asset list doesn't have to start from scratch. Begin by scouring your own collections file for information you may already have about the debtor, including:

• Home and business addresses
• Bank names and account details (checking, savings, and business accounts)
• Information about significant assets, such as real estate, vehicles, boats, and recreational vehicles
• Place of employment (if the debtor is an individual)
• Professional licenses or business ownership interests
• Any known safety deposit boxes

Learn more in our latest article.

Need More Support? Call Collection Services in Michigan

If you need help tracking down assets or enforcing a judgment, our lawyers can guide you through every step of the process. Get started with our Michigan collection services by calling (248) 645-2440 or by submitting a contact form here.

How ADR Works in Practice

Do you want to explore your options before you take your debtor to court?

In our last blog, we defined alternative dispute resolution (ADR) and when it should be used. In this blog, we’ll give you a quick rundown of how ADR works in practice, along with some practical tips for creditors.

1. Case Evaluation & Selection: The parties (or their attorneys) assess whether the case is ADR-friendly—e.g. clear factual disputes and willingness to compromise.
2. Mediator/Arbitrator Appointment: A neutral third party is selected by agreement or court order.
3. Exchange of Information: Parties may exchange documents to support their claims or defenses.
4. Negotiation or Hearing:
1. In mediation, the mediator helps the parties negotiate a settlement.
2. In arbitration, the arbitrator acts like a private judge and issues a binding or nonbinding decision.
5. Agreement / Award & Enforcement: If the parties agree or the arbitrator issues an award, it becomes enforceable—either by court order or under a contract.

Practical Tips for Creditors

• Include clear ADR clauses in your contracts (these are usually called mediation/arbitration clauses).
• Keep communication and documentation thorough and professional—good records help in ADR.
• Evaluate the cost-benefit: if your claim is small, ADR may resolve it efficiently.
• Engage experienced attorneys familiar with debt and dispute resolution law.

Learn more in our latest article.

Your Go-To Guys for Michigan Collection Services

If you need some help navigating ADR, or if you’re at the end of your rope and ready to take your debtor to court, the Mullers can help! To talk with a collection services expert in Michigan, call (248) 645-2440 or submit a contact form to get started! We’ll make the process easy for you.

What is Alternative Dispute Resolution?

Did you know that there’s more than one way to resolve your collections case?

Alternative Dispute Resolution (ADR) is a general term for things like mediation or arbitration that let disputing parties resolve a claim without going through a full court trial. In Michigan debt-collection cases, ADR offers a faster, more flexible path to agreement for both creditors and debtors.

Courts may order ADR during litigation to encourage settlement, limit costs, and reduce caseload pressure.

Why Use ADR for Debt Collections?

• Cost savings: ADR tends to incur fewer procedural fees than standard lawsuits.
• Speed: A mediated or arbitrated resolution can often conclude faster than waiting for trial.
• Confidentiality: Unlike public court records, ADR processes are often confidential.
• Less adversarial: It encourages cooperation rather than future litigation hostility.

Learn more in our latest article.

Your Go-To Guys for Michigan Collection Services

If you need some help navigating ADR, or if you’re at the end of your rope and ready to take your debtor to court, the Mullers can help! To talk with a collection services expert in Michigan, call (248) 645-2440 or submit a contact form to get started! We’ll make the process easy for you.

The Standard Behavior of Debt Collectors

Is it hard to find an ethical debt collector?

The answer is no, it’s actually not hard to find an ethical, responsible debt collector. Consumer laws such as the Fair Debt Collection Practices Act arose from the misconduct of a few irresponsible, abusive debt collectors, not the majority. These consumer laws have cut back abuses. Scrupulously following these laws, even when they don’t apply, can help ensure professionalism and avoid misunderstandings and other problems. 

Unless you negotiate specific file handling procedures, your collections professional operates in accordance with their own standards. When you desire a more restrictive standard of conduct, don’t hesitate to instruct your collector to follow your standards. For example, you may limit the number of demands that they make to a debtor before filing collection litigation.

You should be comfortable that your outside collectors are well-trained and professional, and will handle your customers (debtors) with dignity. None of those hallmarks of professionalism are incompatible with aggressive debt collection. The bottom line is that you want your collection professionals to follow a standard of ethics that’s as similar as possible to the ethical standards of your own business.

Read more about this in our latest article.

Have Confidence with Michigan Collection Companies

Are you in Michigan and anxious about hiring collection companies?

You don’t have to worry about unethical or unprofessional behavior occurring with the Muller Law Firm. If you need a second opinion, check out reviews from our happy clients. To get started or ask a question, call (248) 645-2440 or submit a contact form here. We look forward to hearing from you!

Working with a Collector: How Your Business is Responsible

Did you know that when you work with a collector, your business takes responsibility for their
behavior?

When you hire collection professionals and include them on your collection team, you assume responsibility for the professionals to be, indeed, professional and ethical in their services. But at the same time, you give up some of your control—perhaps a lot of your control—over the collection.

Beyond the possibility that your collector’s misdeeds may frustrate your ability to collect a debt or trigger a counterclaim, their actions are being taken in your name. The type of service you use to collect your debts will reflect on your business, and every time you place a claim with an outside collector, you put the reputation of your company on the line.

By nature, the collections business is adversarial. Debtors don’t like to pay debts, and nobody likes to be confronted with aggressive collection efforts. Not all collectors act ethically or legally, and those problem solver-type news segments love to showcase abusive collection tactics. Your company doesn’t want to find itself at the center of adverse publicity as a result of debt collection gone haywire.

Read more about this in our latest article.

Have Confidence with Michigan Collection Companies

Are you in Michigan and anxious about hiring collection companies?

You don’t have to worry about unethical or unprofessional behavior occurring with the Muller Law Firm. If you need a second opinion, check out reviews from our happy clients. To get started or ask a question, call (248) 645-2440 or submit a contact form here. We look forward to hearing from you!

The Five Cs of Credit - Part 2

How do you decide whether to give a customer credit or not?

In our last blog, we talked about three out of the five Cs of credit: character, collateral, and capacity. Now we’ll discuss the final two Cs: capital and conditions.

Examining Capital

A company’s net worth is made up of capital that has been paid into it over the years, along with any that has been generated through profitable operations (“retained earnings”). Ideally, you can compare two or three financial statements next to each other to spot trends in net worth. You’re looking for your customer’s net worth to increase each year, meaning that capital is being put into the company—that the company is profitable and is keeping some of its earnings rather than paying them all out of shareholder as salary or dividends, or both.

Reacting to Conditions

An excellent practice to follow when extending credit is to consider the general conditions of your industry, as well as overall economic conditions. Although good customers may pay their bills timely even in poor economic conditions, when industry or general economic conditions take a downward turn you must monitor payment trends for even your best, most reliable customers.

When conditions are good, customers have lots of money and customer demand. Orders are high, and you’re willing to take some additional risk to maximize your profits, so more goods are shipped out on credit terms.

In difficult economic conditions, competition from other companies in your market affects how much risk you’re willing to take. If your goods or services are scarce or unique, you can more easily impose credit terms that better protect your business. The less unique your product, the more you must deal with market pressures that may force you to extend more credit than you’re really comfortable with.

Done Looking for Collection Companies in Michigan?

If you haven’t had luck with other Michigan collection companies, it’s time to partner up with Muller Law Firm! We provide collection services for business-to-business and business-to-client companies, specializing in pre-suit, post-suit, and post-judgment collection.

Fill out a contact form here, or give us a call at (248) 645-2440, to ask questions and figure out your next steps.

The Five Cs of Credit - Part 1

Have you heard of the five Cs of credit?

The five Cs of credit are character, collateral, capacity, capital, and conditions. In part 1 of this blog, we’ll be going over the first three. 

Assessing Character

Whether it’s an individual or a company, your customer exhibits a personality. From a credit prospective, you evaluate your customer’s integrity, particularly in terms of bill paying. Has this customer exhibited integrity in the past? If the customer says the check is in the mail, is it really?

Customers who lack character should be required to provide more proof that they’re worthy of credit. For example, you may require updated financial information every six months or every year or verify their status with outside credit reporting agencies every six months.

Evaluating Collateral

When you take a lien, you stake a claim to certain assets of your customer, and become their “secured creditor.” The property you take the lien against, such as inventory, equipment, or machinery is your collateral. If your customer stops paying its bills, you may pursue the assets that are subject to your lien in order to satisfy their debt.

After you’ve staked your claim to those assets, when your customer stops paying you can either take those items back with the cooperation of your customer or you can seek a court order to take the items back (a process referred to as “claim and delivery” or “foreclosure”) to minimize your losses.

Determining Capacity

“Capacity” is the sufficiency of cash flow to cover debt. The ability of a business to pay debt generally fluctuates depending on budgeting skills and the steady flow of enough cash to cover debts as they mature and become due. Unforeseen expenses can throw a monkey wrench into even the best-laid budgets, so the acid test for capacity is actually whether your customer can generate an adequate cash flow to pay its obligations even with fluctuations in the marketplace, sudden drops in orders from its customers, and similar unexpected difficulties. Part of the answer to this question may lie in the customer’s capacity and willingness to borrow money to supplement cash flow when the purse strings tighten up. What matters to you, though, is whether your company will receive payment even if your customer is having temporary cash flow concerns. 

Done Looking for Collection Companies in Michigan?

If you haven’t had luck with other Michigan collection companies, it’s time to partner up with Muller Law Firm! We provide collection services for business-to-business and business-to-client companies, specializing in pre-suit, post-suit, and post-judgment collection.

Fill out a contact form here, or give us a call at (248) 645-2440, to ask questions and figure out your next steps.

Picking a Reliable Debt Collector

Have you been struggling to find a reliable debt collector?

When you approach a collection professional, they should try to anticipate your needs, asking about the type of business you operate; whether your business is regional, national, or international in scope; who your debtors are (and whether they’re primarily commercial or consumer); and what types of services you’re looking for. If you don’t know what services you need, the collection professional should happily provide you with website links, brochures, and detailed explanations of the services they recommend for your company and what those services cost.

There are several characteristics that mark a reliable debt collector, but recommendations, trustworthiness, and legal compliance are at the top. 

Recommendations: Your debt collector should provide sound recommendations on handling collection files, working with particular debtors, and accepting (or not accepting) settlement offers made by debtors.

Trustworthiness: Can you rely on your collection professional’s advice? Over time, has the advice turned out to be good in maximizing recoveries, or is your debt collector just out for a quick fee?

Legal compliance: Your professional should scrupulously follow state and federal laws.

Get Reliable Service for Michigan Debt Collections

Muller Muller Richmond & Harms, PC is one of Michigan’s leading collection firms, you get efficient collection, reliable results, and peace of mind. If you need help with debt collections located in Michigan, call (248) 645-2440 or submit a contact form here. We look forward to taking the burden off your hands.

Characteristics of a Good Collection Service

How do you separate good debt collection professionals from mediocre ones?

Here are some signs to look for:

One-Stop Shopping: You don’t want to search all over the country for professionals that provide different kinds of services in different locations. Find a debt collection professional that offers all the services you need in the locations you require, including national or international services.

Bricks, Mortar, and People: Check the debt collector out, perhaps even in person. Ask them questions, and get references who can tell you about their services. What does the service look like? What type of people work there, what computer systems and other technologies do they use in their collection efforts, and how responsive are they to emergencies?

Meaningful Reporting: Whether you want reports on individual collections files or a bulk report listing all the claims you’ve placed with the service, a good professional tailor reports to your needs. When you work with your debt collector, specify the information you can use, not a bunch of fluff reports with information that’s not helpful.

Remittances on Collections: When do you need to receive payment on collected accounts? Collection professionals usually provide remittances on a collection-by-collection basis, but depending on the volume of claims you place, they may be done in batches, once or twice per month.

Good Percentage of Recovery: How often does the collection service settle claims versus colleting accounts in full? If you authorize your collection agency to settle cases for 80 percent of their value, will it settle every case for no more than 80 percent or continue to try to collect 100 percent? Keep statistics for each of your collection professionals and compare their performances over time.

Get Reliable Service for Michigan Debt Collections

Muller Muller Richmond & Harms, PC is one of Michigan’s leading collection firms, you get efficient collection, reliable results, and peace of mind. If you need help with debt collections located in Michigan, call (248) 645-2440 or submit a contact form here. We look forward to taking the burden off your hands.

Your Debtor's Customers as an Asset

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.

Building a List of Your Debtor's Assets

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. 

Reviewing Credit with Clients

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.

Keeping Notes on Credit Clients

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.

Detouring Around the Disconnected Phone

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.

When to Visit Your Debtor in Person

Is your debtor hard to contact?

Are they avoiding your calls?

Has their phone been disconnected?

The next step to contacting your debtor is to show up at their doorstep. Visiting your debtor may result in meaningful face-to-face communication, but there are potential drawbacks:

• The debtor is gone – Sometimes the debtor’s address is no longer valid, and driving to the location is a waste of time. Still, if you’ve made the trip, check to see if the business has moved.  Go next door and see whether the neighboring house or business has any information that may help you find the debtor.
• Angry confrontations – Upon arrival, rather than getting paid, you may discover that the debtor prefers to engage you in a verbal or physical battle. Leave if the situation escalates.

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.

Speeding Up Slow Payers with a Phone Call

Have you already sent a collection letter to your debtor?

If the letter doesn’t result in payment, your next contact is just as polite but should be made by phone. Of all the ways to communicate with customers, the two most effective are still two of the oldest: face-to-face contact and by phone. In modern business, face-to-face contact is impractical or even impossible with many customers. Fortunately, phone calls can be almost as effective as face-to-face contact. Communicating by phone with the person who has authority to write you a check is an effective way to secure payment.

Learn more about speeding up payments!

Providing Collection Services in Michigan Since 1961

Have you had enough with your debtors?

Want to take your collection efforts to the next level?

Partner with Muller Law firm for prompt and relentless collection services in Michigan. Muller Law Firm can provide collection services for business to business and business to client companies, specializing in pre-suit, post-suit, and post-judgment collection.

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.

Starting the Collection Process with a Letter

Are your customers’ payments continually late?

Start with a collection letter! As soon as your customer’s payment habits start to slip, contact the customer in writing. At this stage, your letter is just a gentle reminder, consistent with maintaining good customer relations. After all, the customer may have simply forgotten to make the payment.

You may contact your customer by mail, fax, or email. Whichever communication type you use, don’t forget to keep a paper trail. Request delivery confirmation for emails, keep fax confirmation sheets, and consider using certified mail or receiving delivery confirmation if there’s any possibility of getting the age-old excuse: “I never got it.”

Learn the next step in the collection process on our website!

Providing Collection Services in Michigan Since 1961

Have you had enough with your debtors?

Want to take your collection efforts to the next level?

Partner with Muller Law Firm for prompt and relentless collection services in Michigan. Muller Law Firm can provide collection services for business to business and business to client companies, specializing in pre-suit, post-suit, and post-judgment collection.

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.

Why Preparedness Means Everything in Court

Are you taking your debtor to court?

Are you fully prepared?

Your preparation or lack thereof can influence whether you win the case. Here are two mistakes to avoid!

Not knowing who may represent your company – If your business is incorporated or if you intend to send an employee to represent your company in court, make sure the court’s rules permit you or the employee to appear without a lawyer. Determine in advance who may appear in court by asking the civil court clerk or by reviewing the small claims court pamphlet.

Failing to bring a key witness – If a witness has important testimony to share, bring the witness to court. Even if your court permits you to submit affidavits, a written statement is usually given little weight in deciding a case because there’s no opportunity for cross-examination or assessment of witness credibility. If you don’t produce an important witness in court, you send a signal to the judge that you don’t really care if you win or lose.

Learn more mistakes to avoid on our website!

Collection Services in Michigan

Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed in a straightforward, ethical manner. 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 take advantage of our collection services in Michigan, contact us today!

Steps Before Litigation

Can’t get through to your debtor?

Are you considering litigation?

Before going to court, try to enter a written repayment plan with the debtor, allowing them to pay off the agreed balance in installments.

In general, it’s good practice to keep good notes and records of your communication with the debtor. These notes are helpful if you do go to court.

Learn other steps to take before going to court!

Debt Collection Services in Michigan

Are you ready to pursue legal action?

Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed in a straightforward, ethical manner. 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 take advantage of our collection services in Michigan, contact us today!