Part 2 of our Glossary of Collection Terms Blog
Garnishment- Legal procedure where a creditor can collect a debt by reaching the debtor's property when it is being held by a third party, this can include taking a portion of wages.
Guarantee- To agree to be responsible for someone else's debt when they are unable to pay.
Indemnity- Restitution or reimbursement for loss, damage, or injuries.
Insolvency- The condition where a person is unable to pay his or her debts when they become due.
Joint Liability- When two or more parties are liable for a debt.
Judgment- Decision by a court where an official amount owed by the debtor is awarded.
Lien- Where the owner of property gives the right to secure a debt.
Negligence- Conduct that fails to match standards of behavior set by law where injury or damage can occur.
Plaintiff- The party that brings forward the claim in an action or proceeding.
Satisfaction- Discharge of an obligation when a debt is paid for.
Settlement- When a debtor offers a sum of money or property to settle a debt.
Skip- When a debtor leaves or changes all contact information and cannot be located.
Skiptracing- The act of locating a debtor.
Statute of Limitation- A law which limits how long before the right to sue is lost.
Writ- An order given by a court that requires something to be done or giving authority for someone to perform a specific act.
Rumson, Bolling & Associates is here not only to offer our clients the absolute finest collection services, but we want to offer the web and the world the best information in the collections field. So that whether you are looking to use a collection agency or you are dealing with collectors, we want you to be perfectly prepared.
For more information and inqueries please go to our website: www.rumsonbolling.com