On the 26th April 1999 Woolf reforms revolutionised an entire legal system incorporating fundamental changes in the way Debt Collection is undertaken in the County Court.
British businesses pay overdue invoices on average 51 days late, the worst statistic in Europe.
Statutory interest allowed by the Courts is only 8% + current base rate.
County Court issue fees since April 2014 doubled to £455 on claims over £5,000 making it exceedingly expensive to process debtor repayment through the Court system
Further fees for enforcement of Judgments range up to £178.50 to include using High Court Sheriffs
Al alarming increase in professional debtors who have learnt delay tactics.
County Court Bailiffs can take up to four months and are usually ineffective.
Limited Liability laws make it easy to avoid debts.
Solicitors are expensive when debts are no longer straightforward or disputed.
On the 1st November 1998 the belated Late Payment Of Commercial Debts (Interest) Act came into force enabling creditors to pursue all overdue debts by adding interest since payment became due.
It is vital to review your terms and conditions. CRC will check the enforceability of your interest clause and re-draft your terms claiming interest to your customers on all overdue accounts plus other essential terms.
CRC overviews your credit control procedure including the implementation of your entitlement to 8% + base rate interest on all outstanding invoices.
CRC provides credit checks and company searches and our agents charge only if they succeed in tracing absconding debtors.
CRC undertakes all debt recovery work on a no collection no commission basis and charges 9% fee only on the amounts recovered (minimum fee £15)
CRC will always recommend debt enforcement by STATUTORY DEMANDS on all undisputed debts over £750 or once Judgments are entered. This process is available against individuals, proprietors and partners of businesses and Limited plus other corporate bodies. This 21 day notice process is then followed up with either Bankruptcy or Winding Up Petitions which will have a date requiring debtors to settle by, thus avoiding their ultimate bankruptcy.
CRC will be able to issue all County Court Claims on your behalf and enforce any Judgments over £600 by using High Court Sheriffs who are far better at recovering money (thanks to the new Woolf reforms).
CRC makes no charges for defended work undertaken within the arbitration rules procedure to include all informal directions.
CRC accounts proceeds of recovered monies without delay.
CRC penalises slow payers by claiming interest and legal costs.
CRC commission charges on recovery are usually less than the total interest claimed so you are in profit from using CRC.
CRC always adds interest and late payment compensation (ranges from £40 to £100) to each debt.