North Shore Debt Recovery Lawyer – Getting Your Money
North Shore Debt Recovery Lawyer – Getting Your Money
If you are owed any kind of money, an experienced North Shore debt recovery lawyer can be invaluable. Having to wait on owed money when your finances tight often leads to added stress and frustration, hence these professionals offer a range of services with the aim of achieving results.
Debtors may not pay out for either of two causes; they cannot, or they won’t. Attaining an understanding of the reason behind this is crucial and it requires urgent attention in order to identify if their behaviour is out of willing choice or something else. Therefore, swiftly recognising which camp your debtor falls under is key. The answer will determine your path to recovering money owed to you.
When Customers Cannot Pay
If customers are unable to pay back the debts owed to you, there are still ways for you to recover it.
One option is by initiating talks with the customer and try to arrive at a repayment plan or negotiate interim payment arrangements.
Often, due to situations that people have little or no control over, debt payments may be hindered and thus remain unpaid. More commonly, insufficient cash flow maybe because your customers’ own business clients might be overdue in their payments. This can limit a debtor’s capacity to meet their financial obligations.
Given the need to preserve amicable relations, the best option should both parties wishing to limit repay recovery costs, is to plan out and agree upon a repayment arrangement that your customer can adhere to. Needless to say, having recourse for extra expenditures such as legal aid or court fees would reduce your customer’s capacity.
When Customers Won’t Pay
With the second type of debtor, the problems are more difficult and will almost inevitably involve legal action.
For debt amounts up to $200,000, one option for collecting payment is to consult a North Shore debt recovery lawyer who can write a letter asking for settlement of the debt by an agreed upon date. If not satisfied, legal proceedings may be started, and the case will go before either the District Court.
If the debt is above $200,000, then the action will go to the High Court.
The Disputes Tribunal can be used to make a claim if the debt is below $30,000 — as it’s a low-cost and simple process. Yet, enforced payment may be hard to get even if there is a favourable ruling as the Tribunal lacks enforcement powers, necessitating the debtor’
Avoiding Late Payments To You
In an effort to ensure debts don’t become late, it is recommended that a swift and robust debt collection policy is put into place. As soon as a payment is late, the person that manages your accounts, will send a reminder or statement to the client.
Another good idea is to send out Terms of Trade, prior to beginning trading. Your customer should sign and return their acceptance of your Terms of Trade.
The Terms of Trade will say what is owed and specify any credit terms you may offer, with a clear payment due date. To minimise your costs, the agreement should also say that the debtor is liable for any recovery costs including court and legal fees. Additionally, interest can be applied to late payments The agreement ought to state too that the goods remain the suppliers property until the account is settled in full.
A Personal Guarantee could also be set-up at the start of the trading arrangement.
Help From A North Shore Debt Collection Lawyer
Ideally, you will already have a relationship with a North Shore law firm. They will have written the Terms of Trade for you and drawn up any contracts you need to run your business.
If this has not been done, then a debt collection lawyer on the North Shore, or wherever is more convenient for you, can advise you on the possible solutions to recovering your money.
This will usually involve them sending a letter to your customer. Most people respond to a lawyer’s letter demanding settlement of the debt since most people do not want to have to go to court.
However, if that does not work, then they will draft any court documents for you.
Assuming you get a court decision in your favour, the lawyer can help enforce the payment of that debt.
For companies or individuals on the North Shore of Auckland, that are owed money, a good North Shore debt recovery lawyer, is McVeagh Fleming. They have a number of lawyers that will be able to help.