Litigation and Debt Collection Agency
Considering litigation? Debt collection agencies can help
You may think that a debt collection agency would be a waste of time in cases where legal action has already been tried, but you’d be wrong.
We are often in a position to help clients who have been through the legal process to recover their debt but have been disappointed. The fact is that legal action isn’t always the most effective way to recover a persistent debt. In our experience, non-payment is down to one of four factors:
- Billing errors
- Unwillingness to pay
- Inability to pay
- Disputes
In the case of billing errors or an inability to pay, legal action won’t address the problem. And even with those who won’t pay or who are in dispute, litigation often isn’t the answer. A skilled and reputable debt collection agency will be able to identify the cause of the non-payment and will often be able to secure repayment without the stressful and confrontational legal process.
Costs of Legal Action
Using a legal firm to pursue a debt isn’t as effective as it might sometimes seem. Often a solicitor’s letter will be met with a counter-letter from the debtor’s solicitor and a prolonged exchange of letters results. And those fixed fee quotes from some legal firms won’t cover all of the work involved in protracted litigation. Legal firms are also often more focused on winning the case than in securing the maximum return for their clients, unlike a debt recovery agency.
Risks of Money Claim Online
The Money Claim Online system is intended to be used by those without any legal skills. In some simple cases, it can be effective. But there are drawbacks. If the system is unsuccessful and litigation results, it can leave you at a disadvantage. And even if you are successful, there is still the matter of enforcement. Sometimes the best way to go about enforcing a debt collection requires a creative and skilled approach, considering options such as having a company director give an interview in court, or making an application for a charge on a bank account. Here again, a cash recovery focussed debt collection agency will give you the right advice on enforcement strategy.
Using Our Debt Collection Service
When you engage an experienced and reputable debt collection agency, this can help to take some of the heat out of the situation. A reputable agency, member of the Credit Services Association, working on a no-win, no fee basis, can employ a range of tactics, interacting directly with the debtor.
Even if a recovery process is unsuccessful, it can provide useful information that can help you to decide whether legal proceedings is advisable. And when we feel that legal action is supportable, we will take a rounded approach to the process, focusing not just on winning the case, but on ensuring that the most effective legal methods are pursued and that as much of your debt as possible is recovered. So, get in touch with us today and find out how our debt collection service offers a better alternative than traditional legal action in the case of persistent debt.
CLI is a Debt Recovery Agency established in Kent and specialising in debt recovery, international debt collection and international Letter Before Action.