Debt Collection Companies

RE: Debt Collection Companies

grumpyoldman — Thu, 04 Aug 2016 22:00:48 GMT

You can't take a stocking off a bare leg. If you have not had it by 70 days and its in the 3 month column of the aged debt its toast and you have got Bob Hope of getting a bean back . The agencies are hopeless they just run you up a bill. I think you either have to decide your going to be a completely hard faced hard nosed bastard and not let anyone out without paying ,or accept that your going to have to write off 1-2% of turnover a year and just charge the rest proportionately. Depends upon the area of course ,you could try debt collecting yourself, but its just depressing and occasionally dangerous. You just have to accept that a small % of the population are thieves liars and general scumbags, and sometimes they are going to come through your doors.

RE: Debt Collection Companies

Martin Atkinson — Thu, 04 Aug 2016 10:54:53 GMT

I tend to write most off after a couple of reminders then send a letter sacking them. I am very wary of allowing debts to develop and dodgy characters have to pay upfront so rarely get stung for more than a few quid as I will withhold medication until paid for.

I have also used P&J and they have been successful in about 50% of cases but pursuing through the small claims court as Evelyn suggests is generally a waste of time. Its not worth it for small amounts and for larger amounts they are usually habitual debtors who know how to work/delay the system until you give up the will to live.

In short don't allow large debts to accumulate. Request deposits that will at least cover your costs; in ongoing cases ask for serial payments; write off small amounts and sack the client or at least demand they pay off their debt next time they come in and ask for an up-front deposit - if they object tell them to take a hike. Who wants these clients anyway?

RE: Debt Collection Companies

Evelyn Barbour-Hill — Thu, 04 Aug 2016 10:26:33 GMT

[quote user="Michael Woodhouse"]

We don't use them.

Final request for payment > money claim online (about 50% pay at final demand when you send a copy of the filled in court papers) > instruct high court bailiff.

I think we've had 100% success - including interest and all the costs of collection.

Not worth chasing small amounts - we'd just write them off.

[/quote]

Always chase everything, except possibly the obviously hopeless.

I've never had any success going via the court system – debtors round here just ignore it and if eventually a bailiff goes there's "nothing worth seizing".

Court system no good for the occasional huge debt either – people who run up that sort know exactly how to play the system to their advantage.

For the small to middling I use a local firm of bailiffs, because they go and knock on doors, persistently. Success is so-so, but the important thing is that you get a reputation for pursuing debts.

For the occasional huge one, firms like P&J that keep writing and phoning and eventually proceed if necessary to suing have been successful, but if you can find a firm that uses a combination of letters, knocking on doors and threat of early legal action they will probably do better. You're not allowed to put more than one firm on the job at a time, but if one fails you can take them off and put another one on – I once went through three firms before the debtor finally coughed up.

Beware of legal action – generally you find yourself paying out fees for this, that and the other, and get nothing at the end.

RE: Debt Collection Companies

Bob Russell — Thu, 04 Aug 2016 10:15:47 GMT

Most of our (thankfully few!) bad debts are for very small amounts. I don't bother chasing them up but sack the clients.

A small loss to protect us from the larger bad debt that might follow! Can be cheap at the price!

RE: Debt Collection Companies

Michael Woodhouse — Wed, 03 Aug 2016 20:01:24 GMT

We don't use them.

Final request for payment > money claim online (about 50% pay at final demand when you send a copy of the filled in court papers) > instruct high court bailiff.

I think we've had 100% success - including interest and all the costs of collection.

Not worth chasing small amounts - we'd just write them off.