Debt Collection Handbook UK 2024

International inkassohåndbog

  • Storbritannien
  • Landbrug,
  • Biler og transport,
  • Kemi og medicinalvarer,
  • Bygge og anlæg,
  • Forbrugsvarer,
  • Elektronik og IT,
  • Finansielle services,
  • Fødevarer,
  • Generel økonomi,
  • Maskiner,
  • Metal,
  • Papir,
  • Service,
  • Stål,
  • Tekstil

30 Oct 2024

Having drawn from the expertise of Atradius Collections' local offices, the International Debt Collection Handbook explains the different regulations and procedures for debt collections in the UK.

Download the International Debt Collection Handbook

Amicable collections

General information

 

 

 

 

 

 

 

Handbook Report Page - Amicable Phase

 

 

 

 

 

 

 

Our collectors try to collect debts without recourse to legal action by telephone and letter. We always try to get payment of debts in full, but will negotiate to agree on payment plans or settlement figures. In order to support this process in the UK, we must issue a letter before claim (LBC), which is the start of legal proceedings. This is not used in all cases, only in those where the collectors consider that the debtors have the ability to pay and need some strong evidence of our intention. In England and Wales, we can issue a copy of the proceedings that will be sent to the court in the event that the debtor fails to make payment.

When there is a dispute, we aim to reach an amicable solution between you and your debtor. We do this by analysing all the contractual documents (e.g. signed contracts, orders, confirmations, invoices, delivery notes, as well as standard terms previously agreed to). All of our investigations are completed with the assistance and agreement of our legal team.

Local agents

We currently use a field agent partner to visit debtors to ascertain whether they have any assets or means to make payment.

Interest

Late Payment of Interest Act

This act sets out to assist businesses faced with late payment problems. It does this by adding a number of rules to contracts between businesses. Both parties should be businesses, commercial entities, or public sector organisations.

Interest is claimed at the prevailing Bank of England rate. The rate is listed as the UK’s clearing bank base lending rate in the Financial Times, and is also known as the repo rate. The rate that applies is the rate in force at the end of the day that the payment was due.

The Debt Collection Handbook presents a snapshot of the UK's economic situation and covers the following topics:

  • Debt collection costs
  • Prescription
  • Payment methods
  • Types of companies
  • Retention of title
  • Safeguard measures
  • Legal procedures & legal system
  • Enforcement in debt, movable and immovable property
  • Insolvency proceedings

To read more about the steps and procedures undertaken in debt collections in the UK and other countries:

Download the International Debt Collection Handbook now!