Methods of Recovery & Consequences of non-payment...

Whilst it is accepted that reopening the lines of communication via a 3rd party letter can account for a percentage of the debts that we collect, the majority of larger accounts are resolved via persistence, negotiation and (usually) enforcement.

There is an ill-conceived perception that by ignoring a debt it will go away, but the current boom in the debt recovery industry would suggest otherwise. In a climate where every penny counts and where businesses require to be paid more than ever, thousands of our clients are now prepared to go the extra mile to ensure collection of what they are due - and more often than not this includes a vehement push for any costs and interest that they are entitled to.

Indeed, the tenacity currently being shown by consumers in pursuing banking superpowers such as Lloyds TSB for mis-sold PPI is also indicative that in the current market, businesses and consumers alike are fighting for every penny they're entitled to.

Banks are tightening their belts - see Bank of Dave who evidences this fact brilliantly - and it is very difficult to obtain credit in the current environment, particularly for those who are saddled with a CCJ. EDC Group NE, under instruction, will have no hesitation in debilitating the credit file of our clients' debtors by instigating legal proceedings. Most court hearings are uncontested resulting in a walkover in our favour; the remainder are defended but tend to result in the same outcome, but with swelled costs to the Defendant. It is another indicator that when your creditor engages EDC Group NE, the time for payment is of the essence.

Of course there are many CCJs that remain unpaid immediately after the time of the award, and at this point the consequences for debtors can be grave. Enforcement methods can vary from:

• Bailiff/High Court Enforcement Officer attending premises and removing goods.

• A Third Party Debt Order (an arrest on your bank account)

• An Attachment of Earnings (for employed individuals)

• An Oral Examination before the court which could lead to:

  • A warrant being issued for your arrest if you fail to attend.

• A charge may be levied against your property.

• A Repossession Order being granted.

• An Eviction Order being enforced (tenancy debts)

• Bankruptcy

In short, it serves a far greater long term benefit to all parties concerned to stay on top of debt matters. Rarely will a problem go away, therefore to avoid it; you will serve only to inflame it. Speak with our advisors today to assist in settling the problem sensibly - but please remember that gone are the days where token payments of £5 per month are going to be deemed acceptable.

EDC Group NE can be contacted via e-mail, post, telephone or fax. Please make a note of the details on our contact us page.