Debt Protections Under COVID - 19

Debt Collection

You may have previously received contact from a debt collection agency if you have an old debt with an outstanding sum or if you've fallen behind on payments. If you haven't already, there's a good chance you will shortly. Debt Collection is the process of getting money back from a borrower who has defaulted on a loan.

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Debt protections under COVID-19

If you're having trouble making payments because of COVID-19, or if you fear you'll have trouble in the future, talk to your lender. Some lenders have devised hardship programs that can provide some short-term relief. These hardship programs may allow you to postpone or alter your payments temporarily. This may bring temporary relief, but it does not imply that your debt is being paid off or cancelled.

 

For people affected by the COVID-19 problem, the government has put in place several safeguards. Furthermore, many states have enacted their own debt collection legislation, with many restraining garnishments and prohibiting debt collectors from filing lawsuits.

 

How to work with a respectable Collector

While some debt collection companies are unethical, the majority follow the regulations and recover money from past-due customers in a professional manner. Reputable debt collection agencies will send letters to the address you supplied to your creditor. If agencies see that you've moved, they may send letters to your new location in an attempt to collect a debt. Whether agencies send you letters or phone you, they must provide you with particular information about your debt, such as:

 

• The original creditor's name.

• You owe a certain amount of money (including late fees and other charges).

• Your ability to contest the debt in question, as well as any conditions.

The collector must inform you that you have 30 days to submit a written challenge to the debt collector. They must provide you with the name and address of the original creditor if you request it. If you don't contest the debt after 30 days, the collection agency will deem it valid and will contact you to collect the bill.

Law in COVID-19

• UAE is one of those countries where COVID could not bring a disaster or destroy the economy like other countries.
• The steps, safety acts and the precautions taken by the UAE government, are the best in the world.
• Law was also soft and supportive to employees and employers in this tough time.
• Lawyers in Dubai did a great job, and they did their best to protect the employees from selfish employers. Several employers tried to take the advantage of employees using the COVID-19 excuse. But they all could not be successful.
• Legal Consultants in Dubai offered free consultations to people including expatriate consultants and the UAE National Advocates.

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