Demand Letter

The Texas Demand Letter

Texas Debt Collection Attorney

The legal remedies afforded to creditors depend on whether the debt is secured or unsecured. If the debt is unsecured (no collateral or lien), the creditor or the creditor’s attorney will typically start the collection process with a "demand letter" or "collection letter" whereby the debtor is notified in writing that the creditor has formally demanded payment. A letter from our debt collection attorney may influence the debtor to pay the debt or otherwise negotiate a mutually agreeable settlement without the necessity of costly litigation. If you are owed money, the time in which you have to collect the debt is limited. As such, it is recommended that you contact a debt collection attorney as soon as possible.

The collection letter serves many purposes and in some cases is required by law before other collection strategies can be implemented. As discussed above, the collection letter formally notifies the debtor that you intend to pursue the debt. If done properly, the collection letter can also create a 30-day deadline in which the debtor can either pay the debt or risk having to pay the fees of the collection attorney. This can be a powerful incentive for payment by the debtor and a powerful tool for creditors. If you are owed money and wish to have our office send a collection letter on your behalf, we have set up a secure webpage where you can provide us with the information we need and submit payment online.

If, for example, the claim is based on an oral or written contract, the claimant/creditor may recover reasonable attorney’s fees if the debtor fails to tender the debt before the expiration of 30th day after the claim presented. There are other instances in which a creditor may be entitled to reasonable attorneys' fees. As such, you should contact a collection attorney to evaluate the proper collection efforts. Our Dallas debt collection law firm can provide advice on the most cost efficient and productive ways to collect a debt.

If the collection letter does not produce the desired results, you can pursue the debt in court and reduce it to a judgment. Our debt collection attorney has filed hundreds of lawsuits on behalf of unsecured creditors and understands the importance of efficiency in this phase of the process.

Additional Information

Debt Collection Overview
Payment Bond Claims
Foreclose a Lien
Post-Judgment Collection Strategies
Enforce an Out-of-State Judgment