Debt Collectors London - Choosing the Right Service

Category: Debt Collectors, Debt Collectors Service

Debt collectors in London are plentiful.  It is therefore important to know what to look for when choosing debt collectors to help recover a debt.

Gone are the days when the thought of debt collectors should bring up the image of a couple of threatening individuals carrying baseball bats.  While this method might have been used in the past, it is now illegal and will do nothing to help the reputation of the creditor.  A more advisable strategy for recovering money is to contact a debt collection service.

When choosing an agency, there are some key points to consider.  The first is to find a debt collection service that is trustworthy.  A good agency should be able to provide a list of quotes from former customers who can also be contacted.

Make sure the agency is able to suit specific needs and can follow the process through each stage, as far as legal action if it becomes necessary.  It should employ a range of approaches, rather than be tied to only one method, such as just sending out letters.  A good indication of a reliable debt collection service is a customisable plan and payment options.  It is also a good sign if the agency does not ask for payment until ...Read More

Debt Collector's Tips for Debt Collection by Telephone

Category: Debt Collectors, Debt Collectors Service

A good proportion of debt collection work is done over the telephone, talking with debtors and trying to negotiate a resolution to outstanding debt.  Here are some tips from the professionals on how to make the best out of a telephone call when a payment is overdue.

Know the Customer

Make sure important facts are known before a call is made.  The size of the client's business will help determine who makes the decisions.  Also check payment history.  A one-off delay could indicate a dispute that needs to be resolved.  Ongoing delays could signal a cash flow issue needing some proactive action to avoid future problems.

Maintain a Positive Attitude and Listen Actively

Maintain a professional and upbeat approach and try to sound enthusiastic and interested in the call.  Listen carefully to what is said as well as what is not said and assess the mood of the conversation.  Take notes and remain ...Read More

Debt Collectors UK - the Charging Orders Option

Category: Debt Collectors, Debt Collectors Service

The use of charging orders has often been the subject of much debate by debt collectors in the UK debt recovery industry.  The number of charging orders applied for has grown in recent years and, in the past, the Citizens Advice Bureau has suggested that charging orders have been used to encourage people in debt to pay more than they are able to afford.

Charging orders are a method used to secure the payment of a debt.  This means that a previously unsecured debt is secured on the property of the debtor.  The process of obtaining a charging order is carried out through the courts where applications can be made in circumstances where the debtor has defaulted on the terms of a CCJ already issued on the debt.

Although the use of a charging order might seem like a good way to ensure that a debt will be repaid, there are many factors to take into account before applying to the court.  One important consideration is the cost associated with the process.  If the amount owed is too small, perhaps less than £2,500, then the charging order fees and other court costs that are associated might add up to as much as the debt.

The number of creditors with a prior charge should also be considered.  If there are more than one or two prior...Read More

When to Use Debt Collectors

Category: Debt Collectors, Debt Collectors Service

Debt collectors are often called upon when a company has followed and exhausted its usual procedures for collecting an unpaid debt.  A debt collection service will not succeed in collecting every debt, but is likely to have a better success rate overall.

The usual procedure of a debt recovery service is to write letters and make telephone calls, following an office-based process.  In some circumstances, a visit will be made to the debtor, but notice must be given under guidelines issued by the Office of Fair Trading.  If notice is not given, the debtor has no obligation to discuss the debt at that time and a meeting at a later date should be arranged if the debtor wishes.  Debt collectors have no power to enter a property or seize goods.

A debt collection service can be a good option for a debtor who is delaying or trying to avoid a payment.  For cases where the debt is harder to recover, there is the option of a County Court Judgement (CCJ).  A debt collection service can sometimes help with this process, particularly if a service is chosen that uses debt collection solicitors.  It therefore might be worth employing the services of a debt collection agency first, who can then help pursue the debt as far as is necessary.

If the debt is large and there are realistic concerns that it is not going to be paid, there ...Read More

Collecting Debt Using Solicitors - Debt Collectors

Category: Debt Collectors, Debt Collectors Service

Many businesses are now collecting debt using solicitors, instead of traditional debt collection agencies. Solicitors provide debt collection services as part and parcel of the range of legal services they can offer, and it can be very helpful to have a number of legal experts who can give advice, especially if the debt collections are particularly complex. This may be the case if a debtor is not based in the UK and where the law is different to that in this country.

When you decide to go a qualified debt recovery solicitor you will be in safe hands, as the rules and regulations which solicitors have to adhere to in all their spheres of business are very stringent. They will ensure that the debt collection process is fair, by using the many different options available to them before employing the last resort of taking out a county court summons against a debtor.

These options include debt tracing, a statutory demand, debt collection letters, negotiation, insolvency procedures, bailiffs, attachment of earnings, or other litigation. Debt collection solicitors are there to help with legal debt collection and, as UK solicitors, understand how to interpret and implement UK law. Their expert knowledge can help to get a swift and effective resolution of your debtor ...Read More

Debt Collector's Tips for Debt Collection by Telephone

Category: Debt Collectors, Debt Collectors Service

A good proportion of debt collection work is done over the telephone, talking with debtors and trying to negotiate a resolution to outstanding debt.  Here are some tips from the professionals on how to make the best out of a telephone call when a payment is overdue.

Know the Customer

Make sure important facts are known before a call is made.  The size of the client's business will help determine who makes the decisions.  Also check payment history.  A one-off delay could indicate a dispute that needs to be resolved.  Ongoing delays could signal a cash flow issue needing some proactive action to avoid future problems.

Maintain a Positive Attitude and Listen Actively

Maintain a professional and upbeat approach and try to sound enthusiastic and interested in the call.  Listen carefully to what is said as well as what is not said and assess the mood of the conversation.  Take notes and remain ...Read More

Been contacted by a debt collector?

Category: Debt Collectors, Debt Collectors Service

Here are some of the things you need to know.

Why have you been contacted?
If you miss making payments on money you have borrowed, your account goes into 'default' and you will be sent a default notice. If you don't pay the money you owe, the people you owe money to may pass the details of your debt onto a debt collection business. The debt collection business will then contact you and ask you to pay the money that you owe. Sometimes the people you owe money to may sell your debt to a debt purchase business. If this happens, you should be told that your debt has been sold and the details of the business it has been sold to. The debt purchase business may contact you and ask you to pay the money that you owe and/or they may pass details of your debt to a debt collection business.
Most debt collectors and debt purchasers should have a consumer credit licence from the Office of Fair Trading (OFT).

What you should do if you owe the money
Before telling the debt collector how much you can pay back and when, look at your income and expenses. Create a budget and see how much you can afford to pay back and how often. ...Read More