Just over a year ago, we re – re-launched our debt collection service with a new company. It must be said at the time we were quite sceptical because we hadn’t had the best experience previously although in fairness debt collection is never easy and customers always want the collectors to do more than what they can.
However, one year on, it must be said we’ve had some great success stories from our current provider and it seems to be all working out.
During this year, tenant debts past to U K Research via the Guild have been successfully collected at a rate of approx. 50% in actual money terms because many are still paying instalments so it can’t be said that the full amount has been received yet. However, if you consider some payment (even £10.00) as a success (which I personally do because it’s better than nothing) then the success rate is nearer 80%. Although results have not always been instant, persistence has usually paid off.
A no collection, no fee service with a discounted 20% commission charged only on success has provided landlords with positive results and no risk of any unwanted expense.
In our view, the debt collection service is step 1 before any court action is commenced which can be left as a last resort. Any tenant debt large or small is welcome!