Debt Collection FAQs

Debt Collection Faq number 1:-

By law a debtor can be contacted by post and phone once per day.

Faq number 2:-

Harrassment does not apply to debt collectors chasing a bona fide debt.

Faq number 3:-

If a debt is a business debt you are entilted to compensation under the Late Payment of Commercial Debts Act 1998, we advise our clients to place this on all there invoices.

Faq number 4:-

Draw your clients attention to your Terms and Conditions, ideally if there are only a few terms and conditions place them on the back of your letterheads.

Faq number 5:-

We find our letter before action, results in debtors contacting us very quickly, resulting in payment and/or negiotiating instalments.  Occasionally we receive calls from Landlords or estate agents who are able to clarify if a debtor has moved on.

                                            The Claims process

Once the debt is assigned to us, we can issue proceedings at court.  In essence in a simply claim, the proceedings are issued and judgment is taken two weeks later, then we enforce the judgment with a view to securing the funds for the client.

if a matter is disputed, it depends on the amount of the claim, as to how it moves forward in the court system.  The courts do have a specific timeline which they adhere to in any case and it may be appropriate to file a reply to any defence raised.

Where a defendant raises a defence which is spurious, it will be possible to apply for summary judgment, this avoids wasting the courts time and if judgment is granted then it will simply be a case of enforcing the judgment.

Where a matter is contested it will be necessary to file witness statements.  Depending on the amount claimed it may also be necessary to prepare trial bundles and court items like pre-listing questionnaires.

However in a small claims hearing (where the amount claimed is under £5000), witness statements will be the main requirement unless an expert is required, these are generally not required in debt matters.