What should I do if I receive a lawyer's letter after the deadline Mediation SMS Arbitration SMS?
What should I do if the debtor receives a lawyer's letter, mediation SMS or arbitration SMS after the credit card or loan is overdue? I will explain it to you below:
1. Lawyer's letter
A lawyer's letter is a collection letter issued by a law firm to a debtor entrusted by a creditor. A lawyer's letter does not necessarily lead to a lawsuit, it is more of a soft collection method that uses the debtor's fear of being sued to induce repayment. For debtors who have the ability to repay, they should negotiate repayment in a timely manner after receiving the lawyer's letter; If you can't afford to repay, keep working hard to earn money.
2. Mediation text messages
Mediation SMS is the act of the creditor filing a mediation application to the court when the collection fails. There are two understandings of this situation. First, the real litigation only needs the court to mediate first; The other is that the fake lawsuit is a real collection, which uses the subordinate institutions of the court to put pressure on the debtor to achieve the purpose of repaying the debt. If the debtor has the ability to repay, it is recommended to actively negotiate the repayment; If you are not able to repay the loan, then actively respond to the lawsuit.
3. Arbitration SMS
Arbitration SMS refers to the creditor initiating arbitration with the debtor for an economic dispute with the debtor, and the arbitration institution sends a notice to the debtor to participate in the arbitration. This one needs to be noted because it is equivalent to a court summons, informing the parties. If the parties do not participate, it will not affect the arbitration process and the production of the arbitration award! If the debtor does not participate, it means giving up the opportunity to defend itself and watching the court enforce the arbitral award. Therefore, as a debtor, you should actively respond to the lawsuit!