Creditor Law in Jacksonville

Creditor’s rights before bankruptcy

Creditors are entitled to seek compensation when an owner defaults on a loan.  The credit company can collect a vehicle or foreclose on a home if the debtor stops making the payments.  The law refers to these debts as “secured,” because there is collateral the company can take instead of payment.

When there is no property the creditor can collect, such as with a credit card, the law allows creditors to hire a collection agency or file a lawsuit.  The creditor usually has more trouble collecting these debts because there is no property they can repossess.

You must be aware of your rights and how to uphold them.  Contact King & Dolaghan, P.A. lawyers to discuss creditor rights in Jacksonville.

Bankruptcy creditor rights in Jacksonville

Many times a creditor will receive a notice that a debtor has filed bankruptcy, so that the creditor believes they cannot get repayment.  They believe that they have no rights, which is untrue. 

Creditors must immediately stop contacting a debtor when they receive a bankruptcy notice.  This includes calling, billing, or sending notices.  Bankruptcy proceedings also protect the debtor’s property, even secured property, from repossession.

The court allows creditors to speak at a bankruptcy hearing, challenge the debtor’s right to discharge a debt, and share in the bankruptcy estate assets or plan development. 

Every case has unique features.  The law firm of King & Dolaghan, P.A., welcomes all calls and online web forms concerning bankruptcy, creditors and debtors rights, and real estate law in Florida.

Call 1-904-387-9886 to learn about creditor rights in Jacksonville.