Make a phone call. It’s that simple. Call a Charlotte bankruptcy attorney today. Bankruptcy attorneys — good ones — are eager to answer questions. They will not pressure you into filing a bankruptcy. You won’t feel like you’re listening to a sales pitch. When you call a bankruptcy attorney and ask questions, you’re getting information and the lawyer is getting a chance to do their job, which is helping people.

I received a phone call today from a gentleman who went through a foreclosure last year. He had two mortgages on the home and the bank holding the 2nd mortgage was not satisfied as a result of the foreclosure. Currently, he is getting calls from a collection agency representing that lender. These calls are coming as a surprise to him because he felt the foreclosure process put an end to his relationship with the property and both lenders.

In this case, the collection agency is claiming the bank is owed approximately $21,000. They made a verbal offer over the phone to settle with him for $5,000. While there’s nothing preventing the collection agency from attempting to collect on this deficiency, and nothing preventing this gentleman from agreeing to settle this debt, this is tricky territory.

What’s Next?

If he refuses to settle, he may face further action from the  lender by way of a judgment and attempts to collect on that judgment. Depending upon how effectively he responds to further attempts at collection, this could threaten personal property that he owns including savings accounts and other property not exempt under law.

If he settles with the bank in an attempt to eliminate this debt from his life, he needs to be sure he understands his obligations, the bank’s obligations, and the long-term effects of the settlement. Most of those will be detailed in the agreement which of course will be drafted by the bank’s attorneys.

If he is going to spend money settling with this creditor, he should also know what results he could achieve by spending that same money (or less) on a Chapter 7 or Chapter 13 bankruptcy. All of this information, together, will help him confidently decide his next step.

When In Doubt, Make A Call

He did the right thing. He picked up the phone and called a bankruptcy attorney in his area, which is Charlotte, NC. We had a brief but informative conversation about his current rights against this bank. We talked through a few scenarios which are likely, and some which are unlikely. We assessed his overall financial situation and talked briefly about bankruptcy. And he is faxing over the latest communication from the collection agency so that I can make sure there’s nothing we missed on our phone call.

The call is free. Attorneys take pride in providing information to people in need. Don’t hesitate. Call me at 704.749.7747. Information is powerful and it’s free. Get help. Get guidance. You’ll be much better equipped to make the decision that’s best for you and your family.