Legal Question in Credit and Debt Law in Georgia

I am a small business owner, and I have a business debt that has been turned over to a very aggressive collection agency. I have also signed a personal guarantee on this debt. We had arrived at a payment arrangement that would be drafted out of my account each month. After a short time into the agreement, my business really dropped off and I no longer have the income to for these drafts to go through, and one of them was returned unpaid. I have expressed to this establishment that with my current financial situation, I cannot keep with the agreement and I need to pay a lesser amount each month to continue paying this off.
They have acknowledged that they want to work on an alternate plan of payments, but they want to prosecute this one bank draft for $680, as a "bad check" and have stated that they are turning it into the local law enforcement.
Is this failed bank draft the same as a bad check, and what can they do to me over this? The first draft went through fine, when I had the funds, but now my financial situation has changed. So it's not like I knowingly wrote them a bad check.
Please advise. Thanks.

Asked on 11/09/10, 1:37 pm

Glen Ashman Ashman Law Office also dba Glen Ashman Attorney

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Stop dealing with the collection agency and see a lawyer. I cannot stress how important that is.

While the draft is not a bad check as a criminal matter, it will cause other problems. You NEED to get counsel.

Answered on 11/14/10, 1:47 pm

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