What is the meaning of a “creditor”?

A creditor is a person or business that provides goods, services, or money to another person or business in exchange for a future payment. Creditors have a legal right to seek repayment of what is owed and are protected by creditors’ rights laws in the United States, including in New Hampshire. Creditors’ rights law sets out the rules and procedures a creditor must follow in order to collect what is owed. These laws provide both creditors and debtors with a way to deal with unsecured debt including loans, credit cards, medical bills, and even utility bills. Creditors’ rights law provides creditors with the ability to take certain actions if payments are not made as promised. For example, creditors may start a lawsuit against the borrower, file a lien against a property, or take out a judgment. Additionally, creditors may demand payment, contact debtors about the debt, or report the debt to credit rating agencies. Overall, creditors’ rights law is in place to protect creditors and to ensure that debtors fulfill their payment obligations.

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What is the meaning of a “creditor”?

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