How do we recover debts? Advice and tips from CreditCall

Debt collection is one of the most effective methods to resolve an unpaid invoice situation. However, it is time-consuming. Not to mention that it is not very pleasant either. Instead of doing everything yourself, you can turn to call center professionals. How does the whole recovery process work and how do we at CreditCall work?

Early collection

At CreditCall, we believe that many problems arising from unpaid invoices can be prevented with the right prevention. The latter is cheaper and easier. Plus, it saves a lot of time and nerves.

The ideal prevention is early collection of debts. As part of this service, we contact the customer before the receivable is due or just after it is due. This enables us to obtain the necessary information on whether the other party plans to pay the invoice.

Sometimes it happens that a partner or client just forgets about an invoice. Alternatively, he or she knows about the delay but has financial difficulties that prevent him or her from paying it. In such situations, we will provide a form of security for the receivable that will be beneficial to both parties.

Early collection takes place in two phases:

• Contacting you shortly before the invoice is due (usually 2 to 3 days) – we check to see if your invoice will be paid on time.
• Contacting shortly after the due date (usually 7 to 14 days) – we find out why the invoice has not been paid and whether the other party plans to do so.

Out-of-court debt recovery for legal entities

Early collection may not always help. If this happens, we move on to the second step, which is out-of-court debt recovery for legal entities. It is also known as mandate recovery because it is based on a mandate agreement.

As part of the out-of-court recovery, we contact the payment partner on your behalf. We do so in writing, by telephone and in person. We use all means of communication to make the process of obtaining the necessary funds as efficient as possible.

When we are able to contact the debtor, we enter into a repayment plan or acknowledgement of liability with the debtor. Based on this, they will repay their debt.

Judicial recovery

Some debtors are not interested in repaying the debt, so they will not communicate with us. This leaves the last step to resolve the whole situation , which is judicial recovery. Here you can decide whether to use the services of our law firm or contact your own lawyer.

If you choose our services, we will prepare a total cost estimate for the costs associated with the legal recovery of your debts. Once you accept it, we will process the claim and attend hearings throughout the country.

Recovery of claims from abroad

Recovery of claims from abroad is often more complicated and challenging than recovery from Slovak clients. However, there is nothing to be afraid of. We can help you in this respect as well.

V CreditCall we have an international network of partner law firms. This makes it easy for us to eliminate language or legal barriers in more than 100 countries around the world.

The process of recovering debts from abroad consists of several steps:

• Establishing contact – the first thing we do is try to establish contact with the other party. We use all forms of communication to do this, including letter correspondence, telephone contact and email.
• Finding out the reasons for non-payment – when we contact the debtor, we find out the reason why he/she has not paid the debt. According to the information obtained, we will propose an appropriate solution.

Next steps – if we are unable to contact the client or the client refuses to pay the debt, we will agree with you the next steps. These usually lead to legal recovery.