What penalties can I face for non-payment of debt?

In New York, if you fail to pay a debt you owe, you can face a number of penalties. Depending on the type of debt, you may be subject to late fees, interest, or even collection fees. For example, if you fail to pay a credit card bill on time, you may be charged late fees and higher interest rates. You may also be subject to collection fees if the creditor or debt collector hires an attorney to help collect the debt. In addition, if the debt is not paid within a certain time frame, it could be sent to collections. This means the debt is assigned to a debt collection agency, who may pursue legal actions to collect the debt. This could involve filing a lawsuit against you and obtaining a judgment, which gives them the right to garnish your wages or seize your bank account. Finally, if you fail to pay your debt, you could be held criminally liable. This means you could face jail time and fines, depending on the type of debt. For example, if you fail to pay child support or alimony, you could be charged with contempt of court. In conclusion, if you fail to pay debt in New York, you could be subject to late fees, interest, collection fees, and even criminal charges. It is important to pay your debts on time to avoid these potential penalties.

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What penalties can I face for non-payment of debt?

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