How to Collect a Court Ordered Judgment
Write to the debtor., Ask for your money all at once., Consider drafting a payment plan., File an Acknowledgment of Satisfaction of Judgment.
Step-by-Step Guide
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Step 1: Write to the debtor.
In your letter, encourage the debtor to pay their debt.
Give them an address to send their payment, as well as your contact information in case they have to contact you.Include what forms of payment you will accept.
If you will accept credit cards, tell them.
The more payment options you offer, the more likely it is the debtor will be able to pay.
Request that all communication be handled in writing.
This will give you a record of everything that happens should you need it down the road. -
Step 2: Ask for your money all at once.
If you request all of your money up front as a lump sum payment, consider giving the debtor a discount, which might include an interest waiver.Doing this will incentivize the debtor to pay it all at once and it will allow you to move on and not have to worry about collecting money in the future. , If the debtor cannot satisfy the debt all at once, put together an agreeable payment plan.
Try to agree to a plan that is feasible for the debtor.
If the debtor can afford the payments, they will be more likely to make them.
If you and the debtor agree to a payment plan, fill out a Stipulation for Time Payments and file it with the court once you and the debtor have signed it.This form makes the court aware of the payment plan, which will be helpful if the debtor fails to make their payments.
If you and the debtor cannot agree on a payment plan, a lot of states will allow you and the debtor to file requests to make payments, which are documents asking a judge to incorporate a certain payment plan.Each party will get to file their own request, and the judge will decide on an acceptable payment plan after analyzing both requests. , Once you have been paid in full, you will need to obtain and fill out an Acknowledgment of Satisfaction of Judgment form.
This form can be accessed online at your local court's website, or by going to your local courthouse and talking with the clerk of courts.
Mail a copy to the debtor, file a copy with the court, and keep a copy for yourself.
If you fail to file an Acknowledgment of Satisfaction of Judgment, or fail to notify the debtor by sending them a copy, you could be liable for any damages suffered by the debtor. -
Step 3: Consider drafting a payment plan.
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Step 4: File an Acknowledgment of Satisfaction of Judgment.
Detailed Guide
In your letter, encourage the debtor to pay their debt.
Give them an address to send their payment, as well as your contact information in case they have to contact you.Include what forms of payment you will accept.
If you will accept credit cards, tell them.
The more payment options you offer, the more likely it is the debtor will be able to pay.
Request that all communication be handled in writing.
This will give you a record of everything that happens should you need it down the road.
If you request all of your money up front as a lump sum payment, consider giving the debtor a discount, which might include an interest waiver.Doing this will incentivize the debtor to pay it all at once and it will allow you to move on and not have to worry about collecting money in the future. , If the debtor cannot satisfy the debt all at once, put together an agreeable payment plan.
Try to agree to a plan that is feasible for the debtor.
If the debtor can afford the payments, they will be more likely to make them.
If you and the debtor agree to a payment plan, fill out a Stipulation for Time Payments and file it with the court once you and the debtor have signed it.This form makes the court aware of the payment plan, which will be helpful if the debtor fails to make their payments.
If you and the debtor cannot agree on a payment plan, a lot of states will allow you and the debtor to file requests to make payments, which are documents asking a judge to incorporate a certain payment plan.Each party will get to file their own request, and the judge will decide on an acceptable payment plan after analyzing both requests. , Once you have been paid in full, you will need to obtain and fill out an Acknowledgment of Satisfaction of Judgment form.
This form can be accessed online at your local court's website, or by going to your local courthouse and talking with the clerk of courts.
Mail a copy to the debtor, file a copy with the court, and keep a copy for yourself.
If you fail to file an Acknowledgment of Satisfaction of Judgment, or fail to notify the debtor by sending them a copy, you could be liable for any damages suffered by the debtor.
About the Author
Thomas Howard
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