MCA Defense Lawyers Provide Expert Guidance on Business Debt Relief

As a business owner struggling with merchant cash advance (MCA) debt, you need an experienced legal team in your corner. The aggressive collection tactics of MCA companies can overwhelm even the savviest entrepreneurs. Don’t go it alone in fighting intimidation, harassment, and lawsuits. Delancey Street’s MCA defense lawyers have the expertise to protect your interests and negotiate debt relief.

How MCA Loans Work

Merchant cash advances provide quick access to capital by purchasing a percentage of your future credit card sales. The catch? MCA loans feature exorbitantly high effective interest rates, rigid daily repayment requirements, and harsh default penalties.

• MCA loans bypass conventional underwriting, making funding readily accessible even for struggling businesses. However, this easy money comes at a steep price.
• Companies must repay MCA loans through daily deductions from credit card settlements at very high payment processing rates.
• Extremely high effective interest rates are obscured by focusing on dollar amounts rather than APR.
• Rigid daily repayment structures leave vulnerable businesses cash-strapped.
• MCA contracts permit lenders to raid bank accounts upon default, creating client account shortfalls.

Facing such predatory lending practices, many companies spiral into crippling debt. Delancey Street’s MCA lawyers have a proven track record of negotiating settlements and pursuing litigation to relieve financial distress.

Countering Aggressive Collections

Upon default, MCA lenders unleash aggressive collections against borrowers. Facing harassment, lawsuits, and account raids, vulnerable businesses need an experienced legal team to protect their interests.Our business debt relief lawyers provide vigorous representation to counter intimidation tactics, including:

• Filing complaints alleging predatory lending and usury law violations
• Seeking emergency injunctive relief to halt harassment and account raids
• Leveraging lender violations to negotiate favorable settlements
• Pursuing counterclaims for damages from abusive collections
• Positioning clients to discharge MCA debt in bankruptcy

With seasoned MCA defense lawyers on your team, you gain leverage to mitigate the financial impact of predatory merchant cash advance loans.

Negotiating Favorable MCA Settlements

Once in default, unwinding an MCA loan through litigation can prove time-consuming, disruptive, and expensive. The optimal solution is often negotiating a reasonable settlement with the lender.As experienced MCA lawyers, Delancey Street’s team can negotiate settlements that deliver significant debt relief on favorable terms.

• Settlement Benefits
  • Discounts of 25% to 60% off loan balances
  • Waiving of contractually obligated payback amounts
  • Favorable restructuring of payment plans
  • Release of personal guarantor obligations
  • Resolution of lawsuits and elimination of threats
• Expert Negotiation
  • Identifying leverage points for bargaining
  • Conveying legal arguments regarding usury and bad faith
  • Leveraging litigation risk to secure lender concessions
  • Insisting on written settlement terms to prevent “settlement bait and switch”

By understanding the motivations and vulnerabilities of MCA lenders, our lawyers consistently negotiate settlements that alleviate the financial burdens imposed on our clients.

Qualifying for MCA Debt Discharge in Bankruptcy

For profoundly distressed businesses, pursuing bankruptcy discharge of oppressive MCA debt provides a powerful tool for financial recovery. However, qualifying MCA loans for discharge requires overcoming complex legal obstacles.As bankruptcy specialists, Delancey Street’s legal team has the expertise to position MCA debt for discharge, including:

• Documenting Predatory Practices
  • Compiling evidence of usury law violations
  • Detailing deceptive or fraudulent lending conduct
  • Substantiating unfair collection practices
• Maximizing Debt Relief
  • Segregating unsecured MCA debt from secured obligations
  • Avoiding MCA loan classification as non-dischargeable fraud debt
  • Invalidating overly broad personal guarantee obligations
  • Establishing undue hardship to discharge tax obligations

Through meticulous documentation and skillful legal arguments, our bankruptcy lawyers can exclude discharged MCA debt from the financial reconstruction process so you can regain your footing.

A Team with One Goal: Your Financial Health

As experienced MCA defense lawyers, Delancey Street brings together top legal talent from across disciplines to protect client interests. Whether negotiating settlements, litigating bad faith claims, or pursuing bankruptcy discharge, our coordinated team approach delivers maximum debt relief.We offer an initial consultation at no cost to assess your situation and provide expert guidance tailored to your circumstances. Our lawyers don’t get paid unless we achieve tangible financial benefits for you.To discuss your business debt case in confidence, contact our office today to schedule your free consultation. Our number one goal is restoring your financial health so you can return focus to operating your business. With Delancey Street by your side, you don’t have to face predatory lenders alone. We’ve got your back