Debt recovery fees
In conducting uncontested debt recovery for business clients for sums of under £100,000 the firm operates a conditional fee (i.e. no win, no fee) arrangement up to obtaining a judgement in default.
Debt Recovery Fees
Our team has handled thousands of cases and has over 40 years of experience in delivering high quality work in all matters relating to debt collection. Information on individuals can be found on our meet the team link below.
The fees payable will be determined by the interest and costs recovered but clients will be expected to fund disbursements themselves.
Disbursements could include:
- court fees (usually 5% of the sum claimed, up to a maximum of £10,000).
The service includes the following steps:
- taking instructions and reviewing documentation
- undertaking appropriate searches
- sending a letter of claim
- receiving payment and sending it to the client, or if the debt is not paid, drafting and issuing a claim
- where no Acknowledgement of Service or Defence is received, entering judgment in default
- reporting to the client.
It does not include any steps for dealing with a contested claim following the service of a defence.
Anyone wishing to proceed with a claim should note that:
- the VAT* element of our fee cannot be reclaimed from your debtor
- the costs quoted above are not for matters where enforcement action, such as the bailiff, is needed to collect your debt.
Matters usually take eight weeks from receipt of instructions from you to entering judgment. If enforcement action is needed, the matter will take longer to resolve.
*VAT is currently charged at 20%.
Birketts has always given a complete package to our business. From initial correspondence through to court hearing every step of the way has been documented fully and we have been kept up to date with every action. I have been using Birketts for the past 25 years and would not hesitate to recommend them to any organisation.
Legal 500 [UK 2022]