FAQ debt collection

Frequently Asked Questions Concerning Debt Recovery

Do you operate regionally or all over Slovakia? Would you be able to represent us abroad?

We operate worldwide in over 150 countries through our partner companies.

What are all the services you provide regarding debt recovery?

We’re able to ensure phone calls and letter sending ourselves.

Certainly yes. The main advantage of debt recovery is the psychological effect of a third party. Besides, we don’t just make phone calls and send reminders.

I don’t trust extrajudicial debt recovery. I want to show an uncompromising approach to the debtor, not intimidate them.

Be assured that the method we use to collect debts is legal. What’s more, our experience is that nearly 70% of debtors keep cooperating with our clients after paying off their debt.

How long does the extrajudicial debt recovery take?

A maximum of three months. If a payment schedule is agreed on, the collection extends to the length of time agreed on for paying every installment.

What is your commission and when is it paid?

The commission is consulted individually, normally ranging between 10% – 15%. However, if you sign an agreement with us and hand us the first cases for recovery by the end of the month, we’re able to provide a 7% commission.

 What if the extrajudicial debt collection is unsuccessful?

In this case you can decide how you want to proceed with the debt. If we’re not successful, we’ll recommend further action, based on the information learned during the recovery. Further action may be judicial collection. We’re able to provide it, or you can arrange it through your attorney.

What’s the success rate compared to a judicial process?

Based on the debt’s age and amount, the regular extrajudicial success rate varies between 20% – 60% for actually paid debts. In the case of a judicial and executed recovery, the success rate is up to 30%. More about the debt collection success rate in this article (when to start collecting debts).

Do you also provide legal services for debt recovery? What are they, how do you proceed in such a case, how much does it cost, and how long does the process take?

Yes we do. We have a contract with our own lawyer and executor, providing services to our clients. So we provide legal debt recovery and executor collection. The length of the process depends. We’re issued a legally valid payment order usually within two months from suing.

Why are you better than our lawyers?

  • faster
  • cheaper
  • you pay only if the recovery is successful
  • no advance payments

We only have old debts that are not worth collecting.

Never mind. Given the fact that you don’t pay any fees for processing, we’re able to attempt collecting such debts as well.

We only have small debts (dozens or hundreds of euros).

Never mind, we collect debts regardless of their value.

Is it possible to refer (sell) debts individually, or do you only purchase debt packages?

Generally we only buy packages of unsecured debts, but if your debt is somehow secured (promissory note, mortgage, etc.), we can purchase such a debt as well.

With external recovery we lose track of our debts.

You don’t lose an overview because every month we send you a report on the state of the debts being collected. Besides that, we actively communicate with you about the collected debts.

External recovery is inefficient – it takes a long time, the information isn’t clear, the process is just prolonged.

Extrajudicial collection progresses in such a way so that we know within three months from taking over the case whether the debt is collectible or not. It happens that even after two weeks we collect the debt, propose its judicial recovery, or find out that the debt is uncollectible. All in all, you receive a report from us about the status of the cases every month, and we regularly communicate with you about them.

The traders themselves are responsible for the debts here, and they’re ranked accordingly. Everyone “manages” their own clientele.

It’s great that you have such a system set up. But what if the debt has been unpaid for a long time and the trader doesn’t know how to deal with it? Our clients always arrange for some maximum time for the trader to solve an unpaid debt. After this period, it’s our company that deals with the recovery.

External recovery is demanding on further administration. What documents and background papers do you need for recovery?

For the start we only need basic information precisely identifying the debtor and the debt, meaning the debtor’s name, identification number, address, the unpaid invoice‘s number, the invoice due date, or partial payments.

Another agency has already tried to collect the debt, but unsuccessfully. Do you think you’ll succeed?

We can try. Given the fact that there are no up-front fees, you have nothing to lose.

Just a minimum amount of problematic or unmanageable debts will occur.

Never mind, it’s always good to have a partner on the side able to react quickly if necessary. So if you don’t have any debts now, you can sign a contract with us and use our services when you need them.

The debts were/are in court or with an executor but nothing’s happening. Would you be able to push the process somehow?

Naturally, there’s the option of taking over the debts ourselves, however, in terms of costs and time it’s not a good solution. We recommend you finishing the collection with your lawyer or the executor you started recovering with, and hand all the new debts to us.