Debt collection usually takes three stages:
1) Pre-legal debt collection. It includes claim work, telephone and personal negotiations with representatives of the debtor. This collection step is most effective when the delay is short. And it is the fastest and least expensive way for creditor or his representatives to collect debts. NO RESULT – NO FEE
2) Court assistance. The law gives the right to the claimant to forcibly collect the debt through the court if the debt is not returned within the prescribed time limit. It is important to know that non-compliance with the pre-legal procedure of the contract may result in refusing to accept the statement claim or leaving it without consideration. Legal debt collection makes sense only when the debtor has assets to pay off the debt.
3) Execution of a court decision. The effectiveness of the execution of a court decision depends on the financial condition of the debtor. It is not recommended to file statement claim, and even more to proceed to the stage of execution proceedings against companies that do not submit tax reports and have tax debt. As a rule, such companies do not have assets to pay off debts.
Most creditors had to collect debts from dishonest debtors. Some creditors achieve results after submitting a claim, but this method is far from effective, and creditors more often seek highly qualified help to protect their interests.