Private debt collection...any good ideas?
 

There is a Calif. Pelican (who shall remain nameless for now) who owes me five thou. Shame on me for making the loan but I trusted him. All I get is words, promises and excuses and no money for over a year. Yeah I was dumb but won't be again. It may be lost money and if that becomes clear he won't remain nameless anymore.

Actually the debt is $5500 now with the interest. Anyone have any good ideas how to get this guy to make it good? I dunno if debt collection companies take on this kind of debt...yes, there is a signed contract.

My first bad experience with a Pelican :(

Small Claims Court and pronto! Once you get the judgment, you can sell it to a collection agency (at a discount). To me, that's better than goose-eggs...

You'll give up up to a 1/3rd for their services.

Was the deal pay back in full at once? Try a payment plan?

Any assets like a P Car he can sell to make good?

Know where he works/lives? Sit outside with a sign explaining the situation.

What was the money to be used for?

Anything you can get a mechanics lien for?

Good suggestions...thanks. Will consult with the Court tomorrow.

Any Italian cousins in your family? :)

I wish my father in law were still alive .... he was well connected.

+1 on small claims, as soon as possible.

Once you get a judgment, there's lots of ways you can put pressure on him, and to try to enforce it.

For example, you can take his judgment debtor exam. He has to show up at the court, and under penalty of perjury answer ANY questions you have about his finances, job, etc. It is very invasive. You can get form lists of questions on the internet.

Also, if he works, wage garnishment is effective.

If he owns a house, that's great, you record a lien against it.

Lots of things you can do, and do by yourself. But the first step is to get a court judgment.

What's the $ limit for small claims? $5k might be too much, but I'm not positive.

In California it's at least $12K. My brother in law won a small claims judgment against L.A. County for about that much last year.

Tell Shaun to pay up, now!!

Aha...another "social experiment" :). Seriously DrD, that sucks bigtime even if he does pay up eventually...WTF is WRONG with some people :(!

ps: IMO, this "character" (or rather, his total lack thereof) should be made public anyways.

Try handling it yourself for a bit. Take the case to small claims court. You get your judgment, then you docket it (it's not too hard, even for a do it yourselfer) and then you're ready to place liens on property, garish wages, or grab bank accounts. Once you get the judgment it's all a matter of paperwork and finding assets to levy against. Go a little ways down this road. If you get tired, just do what Danny suggested and sell the bad debt to a professional.

I find a bat works well.:D

I know you're joking but...nope. Not Shaun.. :D

Small claims court is really your best way to go. Like was previously posted, once you get a judgment you can garnish wages, seize bank accounts, etc.

In KS, I think the limit on small claims court is $1k. Depending on your local laws, you might be beyond that.

$1,000? Wow, that's the lowest I've heard of. Here it's $10K.

I think that's what it used to be at least. I could be wrong.

I have a guess but I'll keep it to myself.

If this "calling out" doesn't work (but I suspect it will), then follow the advice above.

You've waited long enough....................assuming the time frame has expired. Do this now.