Lesson: Creditor Rights

In this lesson, Nick Palazzolo, CPA, breaks down the various mechanisms and legal tools available to creditors to manage debtors' financial difficulties and secure payment. Key topics include the intricacies of creditor's composition and assignments for the benefit of creditors, providing insight into how debtors can reach agreements with creditors to resolve outstanding debts without resorting to bankruptcy. He further explains the concept of liens, distinguishing between several types such as mortgage liens, judgment liens, and mechanics liens, and the implications for both debtors and creditors. Nick also delves into enforceable actions such as pre-judgment attachment and garnishment, outlining the balance between the rights of the creditor to collect debts and the protections in place to ensure debtors maintain a basic standard of living during repayment. The lesson is a comprehensive guide on the gamut of creditor rights and provides a fundamental understanding of the legal landscape surrounding debt collection and debtor-creditor relations.