Getting Debt Collection Involved?

Becky

I know this is not strictly on-topic but I would be grateful of assistance on the following matter...

I am self-employed and design computer graphics.

A company owes me a good few hundred pounds. I have issued a small claim that will be running out next week.

They have 3 CCJs so I am concerned they do not give a damn about paying up (1 of the 3 CCJ's was classed as a satisfied judgement but is the oldest of the 3).

Should I proceed with judgement, and what can this do for me, or should I look for a debt collection agency and if so who should I use?

And a question about debt collection. Once a debt is sold to the agency (is this actually the case and do they pay me for it) can I wash my hands of the problem or could the debt agency still come back to me?

I have photos of the work being used and multitudes of emails stating they wanted the work doing. They just don't like paying people!

I cannot afford to lose this money and it has caused me a huge amount of worry.

I'll be in debt if I keep getting this happen to me!

Becky

Any ideas?

Jamer

Hi Becky

I'm afraid to say that I'm not an expert, however I am a financial journo so I've seen things like this before.

If it were me I would be wary of selling the debt to a DCA. I don't know what the terms would be but you're bound to get screwed.

I'd maybe approach the court and ask for them advice - of all people, they should be able to advise.

The problem you've come across is extremely common. For ideas on sorting out your payment terms and vetting potential clients (which you might think about doing) have a look at https://www.payontime.co.uk. The Better Payment Practice Campaign was set up specifically with businesses like yours in mind. I interviewed a bloke from there once and I was impressed. If you contact them they may be able to give you some better advice. Their website's good too.

Good Luck, James

mandi

Hi Becky,

Im no expert either , but surely once a court has issued an order to pay, ( regardless of other orders) these people have got to pay you otherwise the court will intervene .. thats the idea of having an order so that people have to pay ,, most cases under £5000 are taken to the small claims court. Ask the court what happens next,theyll be able to help.. im sure

Mandi

Becky

Thanks for the replies.

The claim is still in the non-payers hands to either defend, ignore or pay.

Once the time limit runs out I can press for judgement.

This is my first time so I am a bit in the dark to all the technicalities.

mandi

Becky wrote:

Thanks for the replies.

The claim is still in the non-payers hands to either defend, ignore or pay.

Once the time limit runs out I can press for judgement.

This is my first time so I am a bit in the dark to all the technicalities.

Well if I were in your situation Becky, theve had their chance to pay ignore or defend, and they havent made any offer to you, so check with the court, and go ahead with the judgment youve got no more to loose, but lots to gain!! youve earned the money, and its yours !! pretty much like stealing from you if they dont pay you back

Becky

Yes I will be doing that.

I am waiting for the time to pass so I can issue judgement. I wouldn't bet a penny on them paying me before their time is up but you never know!

mandi

Becky wrote:

Yes I will be doing that.

I am waiting for the time to pass so I can issue judgement. I wouldn't bet a

penny on them paying me before their time is up but you never know!


Well if they dont pay before the order, theyll have to pay after it.. keep me posted

Mandi

zzzLazyDaisy

mandi wrote:

Becky wrote:

Well if they dont pay before the order, theyll have to pay after it.. keep me posted

Mandi

Would that it were that simple! There is a particular type of person known as a 'professional debtor' they don't care how many debts they have, and they know that a fair number of creditors will give up in frustration.

First you have to get judgement. If they don't pay, they get a CCJ against them which hits their credit rating (but they don't seem to be too worried about that....)

NOTHING else happens, unless you go back to court to enforce the judgement. There are various methods: sending in the county court bailiffs (but the debtor doesn't have to let them in and you can bet they know this); getting a garnishee order against their bank (you have to have their bank details, and there has to be money in the bank to seize); getting a charge against their house (if its an individual who owns a house that isn't already mortgaged up to the hilt) bankruptcy (if an individual) or liquidation (if a company) but this is expensive and there is a fair bet that this will bring other creditors out of the woodwork (banks, the taxman, and the VAT man all get paid before ordinary creditors..... )

Each type of enforcement is a separate application that incurs a court fee. It is added to the debt, but if they don't pay.....

I hope I am wrong and that they pay up, but you do at least need to be aware of the potential problems in enforcing the judgement.

Daisy

Becky

Thanks Daisy.

I thought this was the case. I would say they are a 'professional debtor'.

The worst thing is that they have 2 companies and I got 'caught' out.

The one they got me to do work for is okay on the accounts side but on investigating various things I found that they are also known as something else and there in lies the CCJs.

Should I contact them once more before the "day of judgement" (well the day I can file for one) or should I simply proceed with no further contact?

They have had enough chance to pay!