Every week we will define and try to explain different terms that you might see as you make your way through the process of debt collection, accounts receivable and the Small Claims.
Many of these words will be familiar to some of you, or you may have heard them but are not sure
exactly what they mean.
Hopefully we get to all of them, one by one:
We’ll begin with the more familiar ones:
Creditor. Is the one owed money. If you have given your customer credit and have not been paid, you
are a creditor.
Debtor: If you owe someone money and haven’t paid them by the due date, you are a debtor.
How does a collection agency work? And how is it different from a law office specializing in debt collection? You’ll learn the answers to these questions in our next post.