Frequently Asked Questions (FAQ)
Am I required to send my debtor a reminder before I start a debt recovery procedure?
If your debtor is an organization, sending a reminder is not required. Since March 16, 2013, official deadlines for payment have been legally set. If the deadline has expired, you can start the debt recovery procedure. If your debtor is a private individual, sending a final notification (the so called ’14 day letter’) is the proper thing to do. This letter has to meet several requirements. Download hier an example of a 14 day letter.
What is a cordial debt collection procedure (or, an amicable settlement)?
Het Invorderingsbedrijf has a great reputation when it comes to amicable settlements. Your debt is recovered without taking your case to court. Instead, we use numerous collection tools to make your debtor pay their due. In the majority of cases, this results in a quick debt recovery or a payment agreement.
My debtor went bankrupt. What do I do?
If your debtor went bankrupt, debt recovery through for instance repossession is no longer an option. The court will hire an executor to supervise the case. The executor makes sure that all belongings of the now bankrupt organization will be sold; the return will be divided among the creditors. Preferential creditors have the right of way.
How does repossession work?
A writ of execution is a specific court order that is needed to put the repossession in force. A plaintiff is in charge of the process. Several repossessions are possible. The plaintiff can for instance take possession of money from the debtor’s bank account or can force the debtor to freeze all his incoming payments. Moreover, possession can be taken of real property such as real estate, cars, or household effects.
What is a verdict?
A verdict is a document set up by the court. It is based on the judge’s sentence in a certain case. The judge’s sentence, and therefore the document set up by the court, is binding. Both parties are obliged to adhere to the judge’s sentence. When it comes to debt-collection, this often means that the debtor is required to recover their debts. If the debtor fails to do so, a plaintiff can be hired to start the repossession process.
What is a summon?
A summon is the document that the plaintiff delivers to the debtor ‘at his doorstep.’ It is the official start of the juridical debt-collection process. The summon contains the creditor’s claim and orders the debtor to appear in court.
Does Het Invorderingsbedrijf arrange juridical debt-collection processes?
Yes, it does. Het Invorderingsbedrijf has great experience with every step of the debt-collection process.
What is judicial debt-collection?
Usually not. If you however are, we will notify you in advance.
What is judicial debt-collection?
If an amicable settlement turns out to be insufficient to make your debtor recover their debts, a judicial debt-collection process can be set up. Het Invorderingsbedrijf sets up a summon. This document thoroughly describes your claim and contains the date on which your debtor is expected in court. A plaintiff will make sure your debtor receives the summon by stopping by at his house. He will let your debtor know in person when they are expected in court. Until the date of the court meeting, your debtor has a chance to pay off his debt. If he does not do so, your debtor will be charged and you will receive the court’s verdict. This verdict is valid for a period of twenty years. The verdict, also called a writ of execution, allows the plaintiff to take possession of the debtor’s assets.
How high is the interest rate?
The following types of interest exist: commercial interest, statutory interest, and contractual interest. Statutory interest applies to all transactions that are not trade transactions. It is the interest that a creditor can request from a debtor who does not recover his debts on time. Commercial interest applies to all trade transactions. From January 1, 2011, onwards, the commercial interest rate has been 8 per cent. Every six months, the commercial interest rate is negotiated on a European level. Last, the contractual interest rate is the interest rate that has mutually been agreed upon by all parties involved.
Does Het Invorderingsbedrijf keep me posted on the status of my cases?
It sure does! During the cordial debt-collection process you can monitor the progress in your Online Cockpit. It shows you the payments we receive on your behalf and it contains all communication with your debtor. Moreover, it allows you to easily contact the debt-collector that is in charge of your case(s). If necessary, your debt-collector will contact you directly.
Do I need a payment and cancelation agreement?
Even though it is not required, a solid payment and cancelation agreement when doing business should be highly recommended.
How are the debt-collection costs being determined?
The costs for the debt-collection procedure that are recharged from your debtor are based on the debt-collection law. If your payment and cancelation agreement contains a clause on those costs, the costs will be based on this clause.
How do I state a claim?
This can be easily done by uploading a claim. After signing up as a new client, you can log in and upload your claim(s).
What does no cure no pay mean?
If your debtor, for whatever reason, fails to recover his debt, we will not charge you a fee. This approach differs from most law firms who charge fees on an hourly basis. At Het Invorderingsbedrijf goes: if your debtor does not pay, you do not pay. No cure no pay, that is how we work.
Who pays for the debt-collection costs?
The costs for the debt-collection procedure that are recharged from your debtor are based on the debt-collection law. This means that your debtor is legally required to take up the costs.
I am a private individual. Can I still hire a debt-collection agency?
Everyone who deals with debtors who fail to pay their due can hire a debt-collection agency. Not all agencies, however, offer their services to private individuals. Het Invorderingsbedrijf is different: we support both private individuals and organisations in recovering their debts.
Does Het Invordingsbedrijf work with a minimum debt-amount?
No. We are happy to help you out, irrespective of the exact amount.