Dealing with Debt in Oregon

Dealing with debt can feel overwhelming. As expenses and the cost of living rise, many people struggle to keep up with bills and make ends meet. 

You may be missing payments on bills, receiving calls or letters from debt collectors, facing a lawsuit, or having money taken out of your paycheck or bank account. These situations are all stressful, but this guide is here to help. Continue reading for an overview of common problems with debt, and see the links below for additional guides and detailed articles on these topics.  

Understanding the process from start to finish:

The process from unpaid bills to debt collection typically follows a common path: 

1. Unpaid bills: It begins with a missed payment—whether it’s for a credit card, medical bill, utility bill, or another type of debt. Missing a payment on a bill triggers reminders and calls from the company you owe.
2. Debt collection: If you don't pay and can't work it out with the business you owe money to, they may hire a collection agency or law firm to try to get the money from you. Or they may sell your debt to a debt buyer, who will try to collect the money themselves.
3. Lawsuits and judgments: If payment is still not made, the debt collector might file a lawsuit. Winning in court allows them to get a legal ruling called a judgment that says you legally owe the money.
4. Garnishment: With this legal ruling, collectors can try to take money from your paychecks or bank account. This is called "garnishment." In rare cases, they may also go after personal belongings, your vehicle, or a home if you own one. 

At each step in the process, you have choices available and actions you can take. When dealing with debt collectors, you have rights and protections. If they break the rules or violate your rights, you can take steps to hold them accountable. 

By understanding the process, you can take control of the situation and make informed decisions.

Inform yourself and take action:

The articles and guides in this section cover each step in the process with detailed and actionable information that can help you understand and get through your financial difficulties.

Many of the rules and protections for people with debt are different depending on the kind of debt you have. These articles focus on "consumer" debts. Consumer debts are those related to personal, family, or household purchases or expenses. This includes things like credit card bills, personal loans, and utilities. These do not include debts related to your work or business, child or spousal support, tax debt, or debts related to a criminal conviction. // For more on what are and are not consumer debts, go here.

For more information and tools to help at each stage, explore these topics: