Debt Relief

The first thing we do is look at the whole picture: what you owe, who you owe it to, what you earn, and what you own. A lot of people come in assuming they have one option. Usually they have three or four, and the right one depends on details they haven't had a chance to sort out yet.

If the numbers work, we can approach your creditors directly. Many lenders and collection agencies would rather take a reduced lump sum or a steady payment plan than spend money chasing you in court. A letter from a lawyer also tends to change the tone of the conversation. One thing to plan for: debt that's forgiven in a settlement can sometimes count as taxable income, so we'll flag that early and suggest you check with your tax preparer.

If you've already been served with a collection lawsuit, don't ignore it. Missing the deadline to respond usually means the creditor gets a default judgment, and that can lead to wage garnishment or a lien on your property. We review the claim, check whether the debt is too old to collect or the paperwork doesn't add up, and respond on your behalf in Maine District Court.

Federal and Maine law both limit what debt collectors can do. They can't threaten you, call at unreasonable hours, or keep calling your workplace after being told to stop. When a collector crosses the line, we can push back, and in some cases you may have a claim of your own.

Sometimes, after looking at everything, bankruptcy really is the better answer. If that's where we land, we'll tell you plainly and handle the filing under Chapter 7 or Chapter 13.

Gray & Palmer is a debt relief agency. We help people file for relief under the Bankruptcy Code.