If Colorado is the proper jurisdiction, enforcing a loan agreement starts with a thorough review of the contract. Without reviewing the loan terms, it’s impossible to provide a complete answer, but here are general guidelines to consider. Your individual case will depend on the specific facts, so I advise you to speak with an attorney as soon as possible.

Some of the considerations include determining whether the loan is secured or unsecured, and checking for an acceleration clause, which may allow you to demand full repayment upon default. Also, review any venue or forum selection clauses that dictate where disputes must be resolved.

If the borrower is ignoring you, send a formal demand letter outlining the amount owed, applicable interest, and a deadline for payment. If that fails, litigation may be necessary. The appropriate court to file in depends on the loan amount:

• Small Claims Court (up to $7,500) – A streamlined option for smaller debts.

• County Court (up to $25,000) – More formal but still cost-effective.

• District Court (any amount, typically greater than $25,000) – Requires full civil litigation procedures.

You may be interested in a prior question I answered on a similar topic. As I mentioned I would speak to an attorney to learn your options based on your specific facts. If you would like to speak to one of our litigation attorneys for more specific advice for your situation please contact us.