Part 3 of 3 The Collection of Debt and Morality: The legitimacy of private debt collection agencies and the problem with big government.
So what happens to those who refuse to pay, i.e. steal? They must give the property or its equivalent value back, they must make restitution, forgo access to affordable credit, and possibly go bankrupt.
This situation is when the debt collection agency comes in. In general, the debt collector is an unpopular figure, but they are essential to a free market and free society. Admittedly they can use ‘tough tactics,’ but to be clear there is a distinction between the aggression the government uses, which cannot be morally justified, and the general use of force by debt collectors which can be morally justified since it is utilized in the just defense of private property.
Therefore debt collection is the appropriate use of retributive force in defense of private property, which is arguably a wholly legitimate function of private business in free society.
But the government often makes life difficult for those who are using retributive force for lawful purposes. The Federal Trade Commission is very attentive when it comes to complaints about lenders and debt collection agencies. The FTC regularly receives complaints, and they respond with the use of forceful intervention against people who are legitimately attempting to recover stolen property by peaceful means. It is certainly a confusing situation for the marketplace.
In general, attempts to collect debts are intensifying since bankruptcy laws (for debt collection laws) have been tightened. But if you care about the security of property, this should be perceived as a positive trend.
When business is wrong and when the government is wrong, know the difference.
Now, there are plenty of cases when credit collection agencies apparently went after the wrong person and behaved imperviously to protests. This situation can occur in cases of identity theft or technical error, or incompetence. What happens in these cases? Most such cases are eventually resolved through bilateral agreements and understanding without resulting in legal action. But a collection agency that has a reputation of targeting the wrong individuals too often will eventually go out of business. No business owner or lender wants to utilize an incompetent collection agency. This is because no lender or business has any long-term interest in trying to collect money that is not theirs.
So it is logical that individuals don’t need government to determine which agencies are good and accurate or bad and inaccurate. These systems can be internally self-policing because of market preferences for quality debt solution products and collection services.
And contrary to popular belief, no business owner wants to have to collect bad debts; after all, it is very costly to do so, and it is much easier to get paid by honest customers. Ultimately, a lender or business owner would much rather work out a deal to get paid something than nothing and have to search and seize their rightful property.
It is evident to lenders and business owners that there are no vast profits to be made in forcing people to live up to their commitments. They prefer honest customers who simply pay.
Comparatively, what happens when a private agency makes a mistake and when the government makes a mistake; in private markets, the case is frustrating for the consumer and even humiliating at times. But there are legal and business avenues for setting the record straight. But when the government has a case of mistaken identity, individuals can find themselves unjustly incarcerated or persecuted. Government rarely admits error and will quickly escalate to legal defense, whereas private businesses have strong incentives to discover mistakes and fix them so they may continue business profitably.
Like the debt collector, the repo man is one of the most unpopular people in society. But he genuinely serves an essential function of insuring the protection of private property, which again is the foundation of freedom.
No individual desires to see their private property stolen and no lender or business want to have a loan default. And this is why debt collection agencies are important for those who want to use moral and peaceful methods of drawing sharp distinctions between ‘what is mine and what is thine’.
Repossession, debt collection, and the individuals involved in these trades who conduct honest transactions, are an important part of the free economy, and they serve to make the marketplace a more stable environment for doing business by effectively mitigating the risk of theft.
Here at Burt and Associates, we are proud to represent our client’s best interest boldly, and we believe in using every honest, reasonable, creative and legal course of action to recover their assets. We hope that you appreciate our strong desire to be the best in the marketplace while also maintaining high moral and ethical standards. We want our clients to know that they can trust us to represent them well and that their name and reputation, as well as ours, is a paramount priority.
If you want an upstanding representative on your side and have debt collection needs, or maybe you want a better understanding of how you can recover assets owed to you, please contact us through our website, email, or by phone. Our representatives would gladly speak with you today.