How to collect money owed?
How to collect money owed?
Author
Discussion

_Deano

Original Poster:

7,414 posts

283 months

Wednesday 21st November 2007
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Some history:
I have a client whos computer went pop and i went to take a look at it for free. Given that he had insurance which covered the computer he gave them a ring and they said that it would be sorted, but the PC would need to be sent to their own computer company to deal with it.
The computer came back and not working. I was then called by the computer company, as i was nominated by the insured, to take a look at the PC as the hard drive cable may have "worked loose in transit". I told them that there is a £50 call out fee and they agreed.
Went to take a look at the hard drive cable was loose and so i plugged it back in, computer booted, all it well.
Now this was back in September. I have been having email tennis with the computer company and as of yet i've not had any payment sent to me, either as a cheque or by direcet payment.
I have told them in an email that i will give them up to the end of the week to send payment otherwise i have no choice but to use a collections agency to obtain the money.
Now i used the "colection agency" as i don't really know how i can go about collect this amount.
£50 may be a small amount to some of you, but its the fact that they are not paid which gets my goat.

So how can i go about collecting the money at the start of next week?

thanks
DJ

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
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http://www.thomashiggins.com/

I use these people for bad debts. Cheap and *very* efficient.

Plotloss

67,280 posts

300 months

Wednesday 21st November 2007
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Cost of collection will likely be more than the debt.

Unless you use one of those mickey mouse template letter things.

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
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See link above. £2.00 + VAT for a letter before action, which 90% of the time is sufficient.

thewave

14,866 posts

239 months

Wednesday 21st November 2007
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Why not issue them with county court summons? Cost for under £300 is £30, and you add interest (probably about £0.50) but you should get your £50 + £30 quite easily, and you make more of a point.

jamesuk28

2,176 posts

283 months

Wednesday 21st November 2007
quotequote all
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason. Please note, for the avoidance of doubt, this is one of my companies so its a plug.

Edited by jamesuk28 on Wednesday 21st November 17:24

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
quotequote all
jamesuk28 said:
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason.
Which are? I've had a 100% success rate with TH and I'm struggling to think of how thier service could be any better. I'm interested to know why these guys are £18 better.

thewave

14,866 posts

239 months

Wednesday 21st November 2007
quotequote all
timskipper said:
jamesuk28 said:
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason.
Which are? I've had a 100% success rate with TH and I'm struggling to think of how thier service could be any better. I'm interested to know why these guys are £18 better.
They're better because they cost more....much like your accountant wink

Sorry, only joking, couldn't resist hehe

_Deano

Original Poster:

7,414 posts

283 months

Wednesday 21st November 2007
quotequote all
If i'm going down the route of a CCS and the fine and the amount owed is paid, can i also claim loss of interest on top of this?

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
quotequote all
thewave said:
timskipper said:
jamesuk28 said:
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason.
Which are? I've had a 100% success rate with TH and I'm struggling to think of how thier service could be any better. I'm interested to know why these guys are £18 better.
They're better because they cost more....much like your accountant wink

Sorry, only joking, couldn't resist hehe
Arf. I appreciate I am coming across as an argumentative sod today (bird flu + cold + asthma not helping), but if people are going to post an incomplete opinion on something, they should expect to be called on it!

Plotloss

67,280 posts

300 months

Wednesday 21st November 2007
quotequote all
_Deano said:
If i'm going down the route of a CCS and the fine and the amount owed is paid, can i also claim loss of interest on top of this?
You can claim interest on the debt at a set rate from the date of claim plus the cost of filing.

Listen to JamesUK28, he is the font of all debt collection knowledge, recommended.

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
quotequote all
_Deano said:
If i'm going down the route of a CCS and the fine and the amount owed is paid, can i also claim loss of interest on top of this?
Yes. Also educate yourself in respect of the Late Payment of Commercial Debts Regulations 2002 http://www.opsi.gov.uk/si/si2002/20021674.htm

thewave

14,866 posts

239 months

Wednesday 21st November 2007
quotequote all
_Deano said:
If i'm going down the route of a CCS and the fine and the amount owed is paid, can i also claim loss of interest on top of this?
Yes, the calculation to work out daily interest is 0.00022 x the amount outstanding, in your case £50, so that's £0.011 per day, like I said, about 50p!

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
quotequote all
jamesuk28 said:
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason.
Ah, the penny drops. This is jamesuk28's company.

You know, whilst it's great to promote your business on forums (grot, anyone?) such as PistonHeads, you really should be open about it and disclose your interest, especially if you're going to insinuate some other service isn't as good.

thewave

14,866 posts

239 months

Wednesday 21st November 2007
quotequote all
timskipper said:
jamesuk28 said:
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason.
Ah, the penny drops. This is jamesuk28's company.

You know, whilst it's great to promote your business on forums (grot, anyone?) such as PistonHeads, you really should be open about it and disclose your interest, especially if you're going to insinuate some other service isn't as good.
Look I'm sorry okay. smile

jamesuk28

2,176 posts

283 months

Wednesday 21st November 2007
quotequote all
timskipper said:
jamesuk28 said:
http://www.debtcollectionletters.co.uk more expensive than Thomas Higgins, but for good reason.
Ah, the penny drops. This is jamesuk28's company.

You know, whilst it's great to promote your business on forums (grot, anyone?) such as PistonHeads, you really should be open about it and disclose your interest, especially if you're going to insinuate some other service isn't as good.
Yep its my company, never tried to hide that fact just look at my profile. The OP asked for a solution for a small debt I pointed him in our direction. I give a lot of free advice to PH members (gladly I may add) both on the forum and via email and always give a substantial discount if we end up acting for them.

I was not insinuating Thomas Higgins were bad merely there is a reason we are 10 time the price. We do not use templates, the nature of the debt will dictate our approach, we not only write, but phone (until we get to speak to the debtor) we also email the debtor and text message them. We will take calls from the debtor and deal with them accordingly. No mention of our debt collection letters service is made on our main debt recovery website, which I will refrain from linking to.

If the mods feel I have done something wrong they will alter the post.

timskipper

1,306 posts

296 months

Wednesday 21st November 2007
quotequote all
It's not about doing something wrong, it's just good marketing practice.

If I have to ask you twice to explain why your business is better than A.N.Other, or have to click on everyones profile who makes a recommendation to check if it's them or not (an unreasonable expectation), you ain't getting my business (and I direct this not at you personally James, but anyone touting themselves in whatever format).

Clearly you are a far more personal approach than TH, which may well be worth 10x the price to some people. I've found them to be 100% successful, templates and all, for £2.

jamesuk28

2,176 posts

283 months

Wednesday 21st November 2007
quotequote all
I have edited my original reply, hope that helps.

spidermanUK

808 posts

259 months

Wednesday 21st November 2007
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Don't bother paying anyone else! Simply print out the County Court forms from www.moneyclaim.gov.uk Fill it out but DON'T file the claim, take a copy, post it to the debtor with a covering letter stating that unless you receive payment within 7 days, you WILL issue the claim!

The vast majority pay up!

_Deano

Original Poster:

7,414 posts

283 months

Monday 26th November 2007
quotequote all
I was going to send this email off to them tonight, just wanted to run it by the PH lot before i did though, just to make sure that i've not stuck my foot in it. I don't think i have, but just wanted to make sure that i was right in telling them that i will also be looking to seeking the costs involved.

Email to be sent:
Evening x,

I have left it until the end of today to see if your BACS payment would come though. Unfortunately it has not. As of tomorrow morning I will be instructing a collection agency to be in contact with you.
On top of the amount due i will also be seeking the amount for out of pocket costs.

Kind Regards