Without question, right now there is over two trillion dollars worth of “bad debt” in the United States by many accounts. The numbers are staggering. A common question that comes to mind is: Can there really be that many deadbeat debtors in America? The realistic answer to that question is a resounding NO.

Most debtors who have had monetary judgments rendered against them are not “bad” or “deadbeat” at all. Most everyone carries some amount of debt, be it large or small, at all times. Unfortunately, circumstances can change in an instant to crash the best made plans and cause bad debt and judgments.

Do not be surprised if your next door neighbor, friend, or relative has had the misfortune of having a monetary judgment rendered against them. Extended periods of unemployment totally out of a person’s control can lead to bad debt. Medical expenses are another large factor in judgments being required. Both of these factors are beyond the control of normal people and are largely unforeseeable. Misfortune does not make you bad or deadbeat.

Think of many other people that simply make poor decisions over time and eventually find themselves overwhelmed by their debt with no way out. Some financial balancing acts go on for years and years before the financial house collapses. Poor decisions can be a product of lack of knowledge, over confidence, or simple denial. There are so many people who live in the present and short-term view that they have no idea of the long-term consequences of incurring bad debt and judgments. There are still not a whole lot of “bad” people or deadbeats in this category either.

It does have to be admitted that there is a percentage – from five to fifteen percent of debtors that are true deadbeats with no intention of ever paying one single penny of debt that they have created. They will have no jobs, no assets, and no desire to be held accountable for their actions. This group hurts the truly honest people who want and will pay their debts eventually because it is so easy to stereotype all debtors as worthless. Do not fall into that trap.

Most debtors are just like you except that they have experienced something that has caused their financial problems. They are working through the roadblocks. They will get back on their feet. They will pay all the debts that they are responsible for creating to the best of their abilities. These people can be the solid basis of a lucrative judgment recovery business.

In Real Estate, the mantra is: “Location. Location. Location.” In Judgment Recovery, the mantra is: “Timing. Timing. Timing.” If you treat your debtors with empathy, courtesy, dignity, and respect, you will be highly successful in the judgment recovery industry. Treat people the way that you want to be treated. Work with the knowledge that everyone is just one disaster or unforeseen circumstance away from finding themselves swallowed up in bad debt.