What are the different strategies available to creditors to collect on debts?

When a debtor in North Carolina fails to pay a debt, the creditor has a number of different strategies available to them in order to collect on the debt. Firstly, the creditor can file a lawsuit in court. This is one of the most common strategies for debt collection and involves the creditor suing the debtor to recover the debt. The court will then decide the amount of the debt the debtor must pay. The creditor can also use wage garnishment, which is another common strategy used to collect on a debt. Through this process, the creditor can take a portion of the debtor’s wages and apply it directly to the debt. This process is often done through the court, but in some cases, the creditor can simply contact the debtor’s employer and request the wages be garnished. Finally, creditors can also use liens to recover a debt. A lien is a legal claim placed against a person’s property, such as their home or vehicle, in order to secure the debt. If the debt is not paid, the creditor can then take possession of the property. In summary, creditors have many different strategies available to them to collect on a debt in North Carolina. These strategies include filing a lawsuit in court, wage garnishment, and using liens.

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What are the different strategies available to creditors to collect on debts?

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