How to Get Rid of Creditors
Now that the line of paying your debt on time has been crossed, it is time to take some action if you are being harassed by creditors. Before reacting emotionally to the situation, take a clear objective view from all sides. From the creditors’ point of view, you are simply one of the many people who cannot keep your finances in order and it is their duty to help you get back in line. Most of them understand your situation and do not cross limits but it is ultimately up to you, to clear your debt. The advisable thing to do is to not get into debt in the first place, but now that you have, learn how to deal with the situation and get debt free and harassment free as soon as you can.
Legally, if you have not filed for bankruptcy, the creditor is allowed to make calls and visit you during the official working hours, reminding you to clear your debt as soon as possible. The time when it crosses the legal line is when you are being physically threatened by the creditor, your family or friends are being called and harassed as well. The timings of the calls are not within the stipulated hours of official work time and you feel a threat to your mental and physical well being and that of your family without your express permission.
This is the time when you can legally file a lawsuit against your creditor claiming harassment. Though in most cases the creditors understand, provided you talk to them clearly, explaining the reason for your debt and your willingness to repay it in a certain amount of time. More often than not, they will aid you and give you the time you require. They are human beings after all and they are doing their job, most of them are willing to cooperate, provided you give an adequate reason.
Before you file for bankruptcy, there is an alternative called the IVA, the Individual Voluntary Arrangement. IVA is essentially an agreement reached by you and your creditors where you agree to repay your debt in a stipulated amount of time. This keeps the creditors from harassing you during this agreed upon time period as it carries a legal stamp putting an end to any harassment for the time being at least.
To sort through all the legal technicalities it is advisable to hire an IVA consultant if you are not able to calculate everything by yourself. Your consultant should be chosen with great care as you are going to trust him or her to help you learn how to relieve yourself of financial debt and keep the possibly dangerous creditors off your back for the time being.
If the above has no effect then the best and smartest thing to do is to file for bankruptcy as soon as possible. Take a financial counseling class and get to work immediately on working towards a better and debt free future. Filing for bankruptcy does not mean all is over. This means that once your creditors get that notice, they cannot touch you. If they do try to ask you to pay for anything, they can face legal action attempting to contact you.
Going for a class on financial management teaches you how to avoid the trap of debt and annoying creditors to begin with. It works on prevention is better than cure idea. The sooner you know how to control your debt, the sooner you can relieve yourself of any possible harassment and better prepare yourself and your family for a happy and wealthy future.