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Debt Recovery Pricing
Thank you for looking at our Debt Recovery services. Debts can arise in all walks of life and we regularly advise and assist businesses and individuals alike.
The bulk of our debt recovery instructions come from businesses across various sectors. With many years of experience and strong expertise in litigation both in and out of court, our debt recovery service is fast, efficient and economical.
We have an experienced team who can assist you with recovering both disputed and undisputed debts. We pride ourselves on exceptional customer care skills enabling you to send out the right message and retain the goodwill of your customers whilst recovering outstanding payments.
We can offer you clear, practical advice and will discuss all the options available to establish the most appropriate way of dealing with debtors. We have tried and tested processes in place to ensure we can recover undisputed debts quickly, efficiently and cost-effectively, with transparent fixed fees.
We appreciate that the fees involved in debt recovery are important to you. We review our fees on a regular basis, considering client’s feedback, to ensure we continue to offer a cost-effective debt recovery service.
We typically work on a fixed fee basis, so that from the outset you know what the fees will be for your transaction. These costs apply for unpaid and undisputed payment of invoice(s). If during the debt recovery process, the matter becomes disputed or enforcement action is required, we will discuss the change in fees with you and agree a way forward.
When claiming costs from the debtor, it is important to note that the VAT element of any fees cannot be claimed. You can claim interest and compensation and we will advise you of the applicable rates.
Our Fee (Ex. VAT)
Up to £500
15% of the amount claimed
£501 - £1,000
10% of the amount claimed
£1,001 - £5,000
Fee depends on the amount claimed
5% of the amount claimed
£5,001 - £10,000
2% of the amount claimed
Greater than £10,000
5 % of the amount claimed
1% value of claim
A minimum charge of £30 plus VAT would apply.
The fees indicated above are fixed and determined by the amount of the debt. The fees cover all initial work in taking instructions, reviewing the documents and preparing and sending a pre-action protocol letter to the debtor to encourage them to make payment. The letter would indicate if payment is not made that proceedings could be issued.
If court proceedings are issued we would prepare the Claim Form and submit this to the Court on your behalf. A court fee would be payable (see above for details of court fees). We would request payment of the court fee from you prior to the issue of proceedings. We would be able to claim fixed legal costs from the debtor on your behalf. Legal costs over and above the fixed costs may be recoverable in some cases.
We would agree a fixed fee with you for the preparation of the Claim Form and its submission to the Court. A minimum fee of £50.00 plus VAT would apply.
If proceedings are issued and are defended then in those cases we would need to discuss the likely costs involved with you at the earliest opportunity.
Other factors that may lead to an increase in costs include:
- The debtor, in a defended matter, issuing a counterclaim against you
- The track that the claim is allocated to (small claims, fast or multi track) can affect the amount of costs you can recover and the costs that you will incur
- Enforcement proceedings becoming necessary after you have secured a judgement
Debt recovery can take a matter of a two or four weeks from receipt of instructions to resolve in cases where the debtor receives the pre-action protocol letter and makes payment in respect of the debt. In cases where proceedings have to be issued, or the debtor responds to the pre-action letter raising questions or queries with regard to the debt will take longer. We will discuss likely timescales with you; a factor to take into account is the time that the court can take in processing claims.
As detailed above, if enforcement action is required, we will discuss the fees and timescales involved.
With every transaction there are key milestones, which may vary according to individual circumstances. Our fees will include these milestones and may be as follows:
- Taking your instructions and reviewing documentation
- Undertaking appropriate searches
- Issuing a pre-action protocol letter requesting payment from the debtor
- Receiving payment and sending this on to you
- Drafting and issuing a claim form if the debt is not paid
- Applying to the court to enter a Judgment in Default if the debtor fails to respond to court proceedings
- If the claim is defended, and depending upon the track that the claim is allocated to, advising you of the likely court timetable up to a final hearing
- Contacting the other side to request payment where a Judgment in Default has been issued by the court
- Discussing with you alternative dispute resolution as an alternative to issuing court proceedings