Debtors’ Rights Attorneys in Jonesboro, AR Working Diligently To Protect You

If you’ve ever been in the position where you are being hounded by a creditor over a debt, you know that it can be a less than pleasant and quite confusing experience unless you are well-versed in the laws regarding debtors’ rights. Debtors’ rights can refer to many things but mainly concerns how creditors are legally required to behave as they try to gain debts that are owed to them and what rights they have in the process. Having knowledgeable representation to help you deal with creditors can mean the difference between a frustrating endeavor facing it alone and obtaining protection from harassment based on the laws in Arkansas.

Our OMG Law Firm has helped multiple people over many years of experience in working with creditors and protecting their rights. You don’t have to shoulder this burden alone. Contact our Jonesboro, AR offices today at (870) 336-6505 to speak with our team to discuss your specific situation and how we can best assist you.

What is The Statute of Limitations on Debt in Arkansas?

If you have debts that have been in collections, they are subject to your state’s (or the state they were incurred in) statute of limitations. This means the collector has a set amount of time to actively pursue you for repayment of debt. Currently, the breakdown is as follows; Mortgage debt is five years, as is credit card debt. Medical debt is two years, auto loan debt is four years, and state tax debt is ten years. It is also important to note that certain debts, such as federal student loans, don’t have a statute of limitations. Also, if a payment is made, even partial payment, it resets the clock on the statute of limitations on that particular debt. In this regard, if even a dollar was applied to credit card debt four years after it was due, the five-year statute of limitations on the rest of that debt would be extended another five years from the time of the payment.

If the statute of limitations has passed on your particular debt, that doesn’t mean that you no longer owe the money but that it is considered “time-barred”. This means that creditors can no longer sue you in an attempt to collect that debt, meaning garnishment isn’t a likely option to regain the money owed, but they may still reach out to you in an effort to get you to pay that amount. Often, there will be a flurry of phone calls and messages from a creditor just before the statute of limitations runs out because they know that once it passes, they cannot contact you. If you make any kind of payment, remember that this resets the time clock, and the creditor can continue to harass you for another four, five, or ten years.

What About Judgement Liens on Property?

In the state of Arkansas, a property lien can be used in an attempt to collect a court judgment. Typical judgments in courts will order the payment of one party to another. As most of us may have experienced, this doesn’t mean that the money is then paid. A judgment lien is a tactic that can be used to collect the debt owed. It ensures the creditor that they will receive a certain amount of money from the proceeds of the sale of that property.

Every state is different in what types of items are subject to liens. In some cases, liens can even include personal property such as jewelry or art that is of value. In Arkansas, the only property that is subject to liens is real estate, such as a home, condo, or land that is owned. These liens remain in place for ten years, regardless of whether the property has changed ownership during that time.

What About Bankruptcy?

If you haven’t experienced bankruptcy yourself and gone through the process, the laws and specific information surrounding bankruptcy may seem like a foreign language. Having a trusted team of experienced debtors’ rights attorneys can help you to untangle the facts and gain relief from the debts you cannot pay. They can assist you in things such as stopping creditors from harassment, negotiating settlements, and filing for bankruptcy. They can also help to determine the validity or extent of a lien on a property or determine the discharge ability of a debt.

It is important to note that bankruptcies involve strict timelines, so it is imperative to act fast. You have rights as a debtor, and you can work with a professional to walk you through the specific guidelines to ensure you meet all deadlines. You don’t have to have all the answers or “speak the language” of bankruptcies; you can leave that to us and our years of experience in helping people just like you.

How Can I Stop Creditors from Harassing Me?

Few things are as stressful as constant harassing phone calls about a debt that you cannot afford to pay. To add to the general stress of not being able to pay a debt, creditors often cross lines and break laws in an effort to get you to pay money that you don’t have. There are strict laws surrounding the actions a creditor can take to try to recover a debt, but creditors often prey on their customer’s fear and shame over unpaid debts and go from collecting a debt to harassment and manipulation.

Creditors’ actions are governed by the Fair Debt Collection Practices Act (FDCPA). If a creditor crosses a line and is violating the law, there are several steps you can take to stop the harassment. To take these steps, however, a clear understanding of FDCPA is necessary. Here at OMG Law, we have helped countless people just like you to end harassment over unpaid debts and find solutions that work.

Contact OMG Law Firm at our Jonesboro, AR offices today at (870) 336-6505 to answer your specific questions and to get the process started.