Creditsafe has partnered with a debt collection agency to provide you with a service where you can refer any bad debt on a no-cost basis.
How does debt collection work?
By clicking on "Collection Score" under "Partner Solutions" you will open the company search page.
- Simply search for the company that owes you money in the Creditsafe system entering as many details as possible.
- Once details are entered, click 'Search'
- Enter the invoice details and we will provide you with access to our exclusive debt collection partner.
The Debt Recovery Process
If you have done all the above and still not been paid, consider the following options;
1. Use a debt collection company
Many businesses drag their feet over initiating debt recovery; the longer you delay, the more difficult it is to recover your money. Most good agencies will work on a ‘no collection, no fee’ basis so there are no up front costs to you. The Creditsafe system offers a solution called Debt Score to make it easier for you. It allows you to search for the company that owes you money, and you can then choose from our panel of Creditsafe endorsed debt collection companies to deal with your debtor professionally. In the event that the collection agency is unable to recover your money they should be able to provide you with useful information when considering further action.
DO YOUR RESEARCH: No matter which route you choose, try to find external agents that understand your business and are happy to work according to service level agreements (SLA’s) set up by you.
2. Going legal
A County Court Judgment (CCJ) can be obtained through the Court that orders a defendant to pay a sum of money to the claimant. It is recorded on the Register of Country Court Judgments for six years. Taking a case to court should not be undertaken lightly and will involve making a payment to the court. The Court will consider your case but will expect to see that you have taken all reasonable steps to secure the payment by other means. You should be aware that obtaining a judgement is not a guarantee you will be paid. Your debtor may still refuse to pay in which case you will need to enforce the judgement. There are many ways to do this including;
- Using Bailiffss
- Obtaining a Charge over property
- Attachment of earnings
- Oral examination and payment order
It is important to establish the best method of enforcement to avoid wasting time and money.
3. Sell the debt
In some circumstances it may be appropriate to sell your debts to a third party organisation for a percentage of the invoice value. Usually, the fee is quite low and the service only available to companies with a high value of undisputed debt.