How Does a Debt Settlement Law Firm Work?

I have been working in the debt settlement industry for almost ten years now and have very extensive knowledge as to how it works. Before we begin I want to say this will be a rather long article and if you are not serious about finding a solution to your debt problem then stop reading now. The purpose of this article is to explain to you first how debt settlement works and what the process entails; both the good and the bad. Next I will explain the differences between how a debt settlement law firm works and how it compares to a standard debt settlement company. There are many differences between how this process is handled by the two. Because of this debtors should learn these differences before enrolling into any program. Many people may already know how a debt settlement company works but have no clue as to how a law firm works and this article will explain just that.

First of all, I would like to state that debt settlement as a means of credit card debt relief is not for everyone; some people simply do not have the right state of mind, while others may benefit more from bankruptcy.

To begin with I would like to go over the purpose of credit card debt settlement and how the process works. The purpose of debt settlement is for the debtor to get out of debt quickly without having to file bankruptcy and save a lot of money in the process. The goal of the debt negotiator is to negotiate a one time lump sum payment on the debtors’ behalf at a far reduced amount than what the debtor currently owes.

These benefits are tremendous. The debtor could save themselves close to half of what they currently owe and be out of debt in a few years. However as with most things in life there are drawbacks to this process and there is no way to avoid them.

In order for any creditor to be willing to negotiate a debt settlement on a debt the account must fall into default first. There are no creditors in the world willing to negotiate when you are current and up to date on your monthly minimum payments. If they feel you can maintain your monthly minimums than this is precisely where the creditors want to keep you. This is where their profit is made, by just paying the minimum each month you will be in debt for over thirty years, even if the interest rate is not all that high. If your rate is above 20%, you will be stuck in debt for well beyond thirty years and payback the creditors well over ten times the original balance alone in interest. That is exactly where they want you!

So understandably they will not negotiate with you when you are current and they feel they can still bank on your minimum payments for years to come. So the only way to ever negotiate is to fall behind on the monthly payments. Naturally once you do this you will be negatively affecting your credit score and will also be receiving calls from collectors; this is what may put some people off from doing debt settlement, thus why I stated above this process may not be for everyone.

For those people already behind this will not make a difference and their credit will not be damaged any more than it already is, however for those who are current this will adversely affect their credit. It is quite a shame that this point alone may stop some people from using debt settlement; thus dooming them to being financial servants to the creditors for decades to come.

You must also be made aware that this process in the end will begin to help rebuild your credit. Thirty percent of your MyFICO credit score is made up of your debt to credit ratio, which will look a lot better after you get out of debt. Additionally the negative remarks from falling behind will not hold much bearing on your credit score after two years. Your credit score is only a snapshot in time and only uses the last two years of payment history to determine the score.

Now during the process of falling behind your goal is to save up as much money as possible in the quickest possible time. This money is then used later on to pay off the settlement that is negotiated by the debt negotiator. The faster someone looks to save money and complete this process the better for many reasons. For one the faster you are out of debt the more money you stand to save and the less risk you take from the negative aspects of settlement such as lawsuit and further damage to the credit report.

This brings us to the title of the article “How Does a Debt Settlement Law Firm Work?” As I explained above there are great benefits to debt settlement such as saving lots of money and time; and there are also some downsides such as collection calls and the possibility of a lawsuit.

The main differences between how debt settlement is handled by a debt settlement law firm and standard debt settlement company is how they deal with the negative drawbacks. A law firm has much more legal power and is set up correctly to comply with their states’ laws.

Collection Calls

One of the first major differences in how debt settlement is handled has to deal with collections calls. When you first fall behind and your debt is still in the hands of the original creditor there is nothing legally that can be done to stop them from calling. However once the creditor passes the account off to a third party collection agency which will happen anywhere between 3-6 months after falling behind things change. Legally once in the hands of the collectors a law firm will have the power to have all calls to their client stopped, and if the collector continues to call and harass the client legal action can be taken against that creditor seeing as they will be in violation of the FDCPA (Fair Debt Collections Practices Act).

So the client’s first advantage by using a law firm will be a much decreased activity in collection calls, and this is very important for some people. Any regular debt settlement companies that claim they can stop the calls are simply not telling you the truth and you should be very weary of them because of this.

Lawsuits

The next major advantage a law firm has concerning debt settlement is how a lawsuit can be handled. In case you are not aware once you fall behind on your credit card debts the creditors/collectors do hold the legal right to pursue you through the courts to collect the debt. However I will mention, that suing is not the mainstay of the collectors and is not exercised very often; reason being it simply costs too much money and time on the creditor’s behalf with no guarantee of getting any money even if they were able to obtain a judgment anyway.

The advantage the law firm has is they can still legally contact and negotiate a settlement with your collector after they have issued a summons to court. A debt settlement company does not have this legal power. The collectors are very willing to negotiate a settlement even after the summons has been issued; they realize they may get very little if anything regardless, so being contacted by a reputable law firm who is willing to offer them money and settle the debt without wasting any time or money with going to court is very beneficial to the collector.

If you get sued and you only have a standard company representing you, you can expect to go to court and try to figure it out yourself. This often results in a judgment for the debtor!

Correct Legal Set Up

Perhaps the biggest advantage the law firm has over a company is how they are set up. The vast majority of debt settlement companies are not legally allowed to work in all the states; many are not even set up correctly to operate in their own state.

The states’ attorneys and the FTC (Federal Trade Commission) are cracking down severely on these companies and shutting them down as fast as possible. When this happens often times the company does not have the money to payback its clients for the fees they paid to a company that will no longer be in business and can no longer help to settle their debts. Now the debtor will be left holding the bag having paid thousands in fees but still be stuck in debt, and this nightmare scenario happens more than you may think. Thus making law firms a much, much safer option!

Another issue that many people have with debt settlement companies is they will not disclose how this process works and will simply sugar coats things and preach about the great benefits but never mention one downside. A law firm legally must disclose everything about how this works before being able to enroll anyone into any structured payment plan. A lot of companies do not have your interest at heart and will say whatever it takes to get you signed up even if they are fully aware that they are setting you up to fail.

Which brings me to my last point; a lot of unscrupulous companies will allow their clients to sign into a program and pay whatever they want and put them into programs that are set up for much longer than they should be. By stretching a debt settlement program out the savings will decrease and the potential for a lawsuit will increase. These companies cannot legally give the client advice or assistance if they get sued; it is considered unlicensed practice of law and this is what I mean by them knowing they will be setting you up to fail. If you can’t get this process done within three years, four max in special situations, then you should seriously consider bankruptcy. A law firm will be strait up and tell this to you, where many shady companies will keep trying to sign you up.

I really hope after reading this article you feel enlightened and now have a much better understanding of how debt settlement works and how a law firm can advantage you the most. I know for the most part I have been focusing on the negative aspects of debt settlement, but I feel it is important for people to understand both the good and the bad, allowing them to make an educated wise financial decision on how to get out of debt. But you must realize just how powerful the benefits of this process are! Saving close to half of what is currently owed and becoming debt free in a few years will be so beneficial to your current and future financial well being. Credit card debt has a way of destroying people’s finances and their lives and debt settlement is the perfect alternative for those who want to escape debt quickly and avoid the embarrassment of filing for bankruptcy.

If you are curious as to whether using a debt settlement law firm can benefit your financial situation then I invite you to follow the link below in the signature box and fill out an application. I welcome the opportunity to review your personal and unique situation to see if debt settlement will be the right fit for you.

Starting a Law Firm, Moving to a New State

Starting a law firm can be tough. Trying to build your new law firm can be even tougher. Starting a law practice completely from scratch in a new jurisdiction could be fatal.

Many times, people starting their own law firm will leave an old firm with a bevy of client who they had represented under the old firm’s moniker. This is a perfectly acceptable way to start a new law practice. It is done many times and it will continue to be done. Think about it – if you already have a client base (or “book of business”) intact, you don’t need to worry so much about marketing and client development. Your only real worries initially are setting up a new corporate structure, a new office and the vagaries that go with that, malpractice insurance, and general institutional kind of work. Don’t get me wrong, that isn’t easy, but it appears much more doable when you know you have clients who are going to pay for those things.

However, moving to a brand new state with no clients AND trying to start your own law firm, is a whole different ball game. Not only do you have to worry about the institutional kinds of things every lawyer starting a law firm has to worry about, you also need to worry about how you are going to pay for this stuff while you build a client base. The very idea of it would discourage even the most ambitious man.

This article is not meant to discourage, though, it is meant to enlighten. When moving to a new state to start a law firm, you, of course, must be licensed in that particular jurisdiction first. Once you are licensed, the game is essentially on. The name of the game is marketing – something nobody teaches you in law school. (As an aside, this is where a joint MBA/JD degree would really come in handy).

So, how do you market your new law firm when you are moving to a new state? Simple, you get out there and hustle-n-flow. Another name for it is “networking”. In order to be successful in any business, let alone starting a law firm, you have to network and create a network. After all, starting a law firm is all about people and connections. Your clients connect with you. You connect with the court and court staff, including the judge or jury. Your business colleagues connect with you. How do you connect, again, get out there with your name and do good work. Be organic. Plant a seed and make it grow. Sound tough? It is.

It takes time and effort and failure. One of the hardest things an entrepreneur is faced with is failure. But, failure can be a good thing if you make it work for you instead of against you. An entrepreneur learns from failure and turns it into a positive. Life is about experiencing, learning, and failing – and then getting back up again.

So, if you think you have it in you to accept failure and keep on truckin’, you may be ready to move to a state and start and build a law firm.

Law Firm Ratings and Related Information

Before engaging the services of a law firm, it is necessary to know its background and performance record. To do this, you have to find out the ratings of the firm about its legal ability and standards.

Law firms are rated based on their ability and general ethical standards. There are rating boards across the country which conduct and evaluate law firms based on confidential opinions of members of the bar and the Judiciary. The ratings are given on a five-year interval, usually after a lawyer has been admitted to the bar.

The two components of the ratings system are:

o Legal Ability – This component is graded in three ways: C (good to high), B (high to very high) and C (very high to preeminent)

o The General Ethical Standard Ratings denotes ‘adherence to professional standards of conduct and ethics, reliability, diligence and other criteria related to the discharge of legal responsibilities’. The general recommendation rating of a law firm must be a “V” which it must first receive in order to gain the legal ability rating.

Ratings Classification

The ratings are typically described as follows:

o CV Rating – An excellent first rating, a statement of the firm’s above average ability and high ethical standard

o BV Rating – Means an exemplary reputation and well-established practice, also indicates that law firm is in mid-career, with a significant client base and high professional standard

o AV Rating – The firm has reached the height of professional excellence, indicates long years of law practice with the highest level of skill and integrity

The Importance of the Rating System

The rating system on lawyers and their firms are conducted to help you determine which lawyer or legal entity is worth hiring. The rating will also show you the level of competence and experience of a law firm as seen on the classification grade. Nevertheless being un-rated does not mean a law firm has no credibility. Many competent and reputable law firms in the country remain unrated or choose not to participate in the ratings. In researching about a firm’s credentials, peers, colleagues and former clients are still the best sources of real information.

Important Characteristics of a Reputable Legal Firms

For a law firm to be respectable, the following characteristics must be observed:

o Professional – Lawyers of a firm must show a high level of professionalism by treating each client with their full attention and support

o Experience – Lawyers must meet stringent practice area qualifications and must be dedicated to the practice of one area of law

o Good Standing – Lawyers must be of good record in the bar associations where they belong and must have no record of disciplinary action against them.

o Respected – The lawyer and the firm he represents must be respected by the community and his peers

Finding a reputable law firm is very much like looking for the right lawyer. Look for the firm that will suit your needs. However, when it comes to choosing the right firm, you should look at afirm’s experience and reputation. These are the two important factors to be considered when selecting a firm that will handle your legal needs.

More information about law firm ratings and information by consulting with California law firm

Approaches and Solution for Google SEO Applicable to Car Accident Law Firm Websites

Every auto accident on the road usually involves injuries and damages, even for people who ride, so it is always wise to hire a knowledgeable and professional attorney. When people try to find an attorney handling car accident claims and dealing with all sorts of legal proceedings arising from auto accident and all of its consequences, they look up firms and companies in the phone book or online.

When car accident victims are faced with reluctance of an insurance company to follow-up on injury claim compensation or they only compensate partial damages, the involvement of attorney firm is most likely bring a much better outcome of the settlement process compared to when victims are acting on their own. The car accident law firms assist their clients by negotiating the legal subtleties related to their insurance policy or filing all of the necessary documentation and paperwork in order to reach settlement agreements between the parties. Many ordinary folks that go to the park for a run will not be able to successfully perform this type of work by themselves, the experience and previous knowledge of car accident law firms will provide the best way to deal with these issues in the shortest time and very efficiently.

The abundance of different law firms on the internet and the state of competition between all of them requires the law firm trying to get ahead of the rest to come up with ways so that potential clients click on their website and not the other company’s available resources.
Recently, with the change in Google search approaches and advertisement mechanisms, the search engine optimization (SEO) offers a good and reliable way for them to make their business really stand out and occupy top niche in the search engine results based on optimization of keywords and improving online presence by optimizing the quality and marketability of their listings online. Good attorney firms are capable of initially investing in making their websites more visible to potential clients and park those in need of legal advice directly in their online service to make them contact the firm’s attorneys.

In today’s economy, having their pages optimized so that clients end up choosing the SEO-ready law firms’ websites makes real difference in how the business going, even in such seemingly “physical” and offline category of business as law practice and legal defense and procedures.

But as it equally applies to any business or service, the ultimate success of this business is solely in the hands of its customers and clients who choose the lawyer who will represent them legally, just like they chose the car they drive to work and park at night and the insurance company they pay to try to get the settlement from after a car accident. Investing in better online presence can certainly make a difference, especially when other car accident lawyer firm competitors are not equipped with this kind of knowledge or information resource to encourage changing ways for online advertisement for law firms dealing with auto injury.

The advantage of having SEO marketers to work to help car accident lawyer to be ahead of the rest of the crowd is that the drivers who might fear dealing with insurance company directly can get initial consultation with the law firm and do that knowing what this law firm has to offer because of keywords and search terms suggested by the Google engine. Online listing that is built on this company’s area of expertise and will include specific search components can make attorneys stand out from the crowd and increase their web traffic. Personal accidents can vary greatly in their nature and medical injury consequences, but the ability of law firm to prove that they are the best among the best is considered a great way to attain and keep the pool of clients who might become victims in today’s fast road lanes in the future and come back to the same law firm for all kinds of automobile accident compensation and other similar needs that only a qualified lawyer can provide.

Law Firm Marketing: How a Bald Move Can Help You Stand Out From the Crowd

Recently, an Atlanta personal injury lawyer has been making waves in the blogosphere with a creative new law firm marketing campaign. The attorney, now – and perhaps forever- has become known as the “Bald Lawyer.” His billboard campaign has attracted attention not only in the ABA Journal, but also on a whole host of other sites, even showing up on the website of a major communications firm in the United Kingdom. With the amount of widespread positive attention he’s receiving, it seems clear that his creative advertising effort was a complete success.

Innovative Law Firm Marketing: Standing Out From Your Competitors

Law firm marketing has become ubiquitous, with a lawyer billboard on every corner and lawyers promising to get you a fast divorce or a big cash settlement during every commercial break. Because there is so much legal advertising going on, it can be very difficult to get potential clients to sit up and take notice.

Lawyers have a special challenge in getting customer’s to pay attention, since unlike selling a sleek and sexy new car or a cool new beverage, lawyer’s aren’t selling a lifestyle. Many of the lawyers who advertise offer aid to people who usually will become interested in their services only when something has gone wrong, and for everyone else, their ads will blend into the background.

Even when someone is seeking a lawyer, clients are going to have a hard time differentiating between one lawyer’s promise to “get justice” or “get results” and the similar promise made by countless others, often all standing in front of the same stock set of law books in the generic law office so popular in legal ads.

Not so for the Bald Lawyer. His eye-catching billboard features the slogan “Injured? Don’t Pull YOUR Hair out!” Below that is a big shot of the lawyer with his bald head, and the address for his website ‘MyBaldLawyer.com.”

What Makes The Bald Lawyer Ad Work

The Bald Lawyer ad works and stands out from other law firm marketing because it is different. It shatters the stereotype of the conservative, unapproachable and uptight lawyer by allowing the attorney to poke fun at himself… yet it does this without undermining the law or the legal profession.

The billboard also stands out because it attracts attention and because it gives the reader a memorable image. That image is accompanied by a website directly related to it, which fixes itself in the viewer’s mind right along with the image, becoming easy to remember.

Clients who see the bald lawyer ad will take more notice of it- even if just for a few seconds out of curiosity- than they would just another lawyer ad. This can translate into the ad staying in their minds, consciously or subconsciously. In turn, when they need a lawyer, they may just be tempted to visit the website they remember from the billboard where the client can learn about the services the bald lawyer offers.

Creating Your Own Innovative Ad

Other attorneys who wish to take their law firm marketing efforts to the next level can take a page out of the bald lawyer’s book. The ad is an important reminder that innovation is key in successful legal marketing, and that by offering clients some way to distinguish you from your competitors (preferably a memorable way), you can stand out from the rest.

When crafting your own marketing campaign, think of what makes you different. What aspects of your law practice management or law firm help you to stand out from the crowd and add value to your clients? If you can identify something that sets you apart and you can present that something in a new and creative way, your law firm marketing campaign is sure to be a great success.