Paul Mackenzie Debt Consultancy

Crucial Debt Collection Documents in Debt Recovery

There are strict laws and regulations that govern debt collection which is why it is important to follow these to the letter. A debtor can report or file a law suit against the debt collector if they feel that their rights have been violated. Before making any effort to collect debt therefore, there are two crucial documents that must be sent to the debtor. This is the default notice and letter of demand.

A default notice specifies the ways in which the debtor fails to comply with the terms of the contract, usually the specific payments that he has failed to pay as stipulated in the contract. The notice also includes the action he is expected to take to fix the problem such as pay arrears. The notice also indicates a time frame for the payment.

A letter of demand is usually sent to the debtor to inform him of possible legal implications of not paying the debt within a specified period of time. This is usually the last letter sent to the debtor before Paul Mackenzie institutes legal proceedings against the debtor for lack of payment.

Handling debt collection according to the set rules and regulations, and getting a positive result is often difficult without the help of a professional debt collection agency. Paul Mackenzie debt consultancy is a leader in debt collection and ensures that you get the money owed to you in the shortest time possible.