Q. What are the first steps in debt recovery?
A. Firstly, we gather as much information about the debtor as possible. We ask the client for details of the debt and debtor and any documents such as invoices, statements of account and CCJ’s (if applicable.) We will also carry out Company Searches or Land Registry Searches in the case of property disputes. Once we have all the information we need, we can prepare and serve the Final Demands or the Statutory Demands.
Q. What if my debtor ignores these Demands?
A. Quite often, the debtor responds quickly to Demands. However, if they don’t we proceed with follow up action. In the case of Final Demands we perform telephone follow up calls and then doorstep collections. In the case of ignored Statutory Demands we can then issue a Winding Up or Bankruptcy Petition.
Q. That sounds scary, is it?
A. A Winding Up or Bankruptcy Petition is very serious and generally something you want to avoid for your business. This is why we find this gets such good collection results and delivers the money you are owed back to you as quickly as possible.
Q. Ok, what if my debtor is served a Final Demand and doesn’t respond to telephone follow ups/doorstep collections?
A. In that case we proceed with County Court Action, sometimes the treat of a CCJ against your name is enough to resolve the debt. If not, the debt will go to a court hearing and then a Judgment will be enforced.