I have two outstanding FHA Compliance inspections fees that have yet to be paid by the clients. Can anyone recommend a collection attorney/agency to help with this matter in the State of Texas?
Your the cheapest collection agency. Do not send any report until paid. I have been through the small claims court process a few times in the beginning (waste of time). Change your policy to no reports until paid, which includes no pay at closing. In a rare case if the client already has inspection money tied up with the mortgage company I request they pay me, then I will reimburse them once the mortgage company pays me. If they don’t have a few hundred dollars to pay me maybe they shouldn’t buy the house. This is strictly business 101, take no prisoners and shed no tears.
Send a certified 10-day demand letter stating you will pursue the matter in court (usually small-claims for our amounts) and seek all related fees. This usually rattles the cage of someone to get you paid. Do you have a signed agreement or something else that you’d offer as proof they should pay you?
I worked in collections for a while and have a close friend that still does. If you actually follow through on your threat of court (and presumably win) you’ll just get a judgement which is nearly impossible to collect on in most states. I’m not sure about Texas though.
That was exactly how I did it after getting stung once.
Better call Saul
That’s right, small claims court is almost completely useless. You may get a judgment, but then you have to collect it somehow. Good luck! Sometimes you can find a attorney who will write a letter for a reasonable amount which gets their attention.