Debt Recovery Service
Our Approach
Coodes combine a personal approach with the use of the latest technology to assist in delivering a quality service to clients. This way we aim to maximise client return and satisfaction at competitive cost. Credit control is an essential part of any efficiently run business. The use of solicitors to assist in the prompt and cost- effective recovery of overdue debts is a valuable aid to proper cash flow management. A realistic and practical approach to debt recovery will minimise bad debts.
Our Fees
Our fees for debt recovery vary based on the value of the debt, the amount of work done in recovering each debt and the stage at which payment is recovered. There are three stages which govern the cost of debt recovery work to the client. In the following pages we set out details of our charges, the Court fees payable and the costs the courts will allow you to recover.
Interest
When proceedings are issued interest will always be claimed either under your own contractual terms or at the court’s discretion based on the current statutory rate or under the Late Payment of Commercial Debts (Interest) Act 1998. Interest will be claimed from the date that payment falls due to the date that payment is eventually received from the debtor following the issue of proceedings whichever is the sooner.
Court Fees
Court fees are payable when proceedings are issued and for any enforcement action. These vary according to the amount of the debt and may change from time to time. The figures given by us here are based upon the County Court Fees Order 1999 as amended.
Recoverable Costs
When proceedings begin certain fixed costs can be added to the debt and claimed from the debtor. These are called ‘fixed costs’. In addition the court issue fee can also be claimed. The fixed costs may change from time to time. The figures given by us here are based upon table 1 of Part 45 of the Civil Procedure Rules 1998 (‘CPR’) as amended.
Other Expenditure
In certain circumstances it may be necessary to incur other items of expenditure, for example, Company registered office search fees where the debtor is a Limited Company or process servers’ fees where postal service cannot be affected on an individual debtor. We will explain these if the necessity to incur them arises.
Disputed Debts
What if a dispute arises over your debt? We will be happy to agree a fixed price for dealing with a fully defended action. Traditionally, Solicitors have charged on an hourly basis and whilst we are happy to do this we will give you the choice of paying a fixed sum instead. The amount payable will be determined by our assessment of your case and will be by separate negotiation and agreement.
Statutory Demands/Winding Up/Bankruptcy
We can provide comprehensive advice regarding the service of a statutory demand and the presentation of winding up and bankruptcy petitions. Please note, however, that we do not consider that service of a statutory demand nor indeed insolvency proceedings are a means of debt collection but may be appropriate in relation to debts where there is no dispute concerning the debt.
References
We act for a number of commercial clients who have kindly agreed to provide references as to our service. We are happy to allow you to seek a reference concerning our service from them.
Other Services
Coodes are able to offer other commercial and civil litigation services and are happy to discuss your needs in that respect.
In Summary
This leaflet is intended to give a guide to the debt recovery service that we offer and to the costs and fees that are involved. It only refers to debts arising from invoices which are undisputed. It is not possible to set out here the entire range of legal options available for attempting to recover debts. We would welcome the opportunity to assist with any enquiries or to explain any of the information given in this guide in more detail.
Should you require any further information please contact
Peter Lamble, Elizabeth House, Castle Street, Truro, TR1 3AP
Tel 01872 246200 Fax 01872 241122
DX 81202 Truro
COUNTY COURT
(uncontested proceedings)
Stage 1 - sending one letter before action ‘LBA’ to the Debtor
Stage 2 - the issuing of Court proceedings in the County Court
Stage 3 - the entry of judgment in default of an intention to defend and issue of a warrant of execution (note: a further fee is payable where a warrant is re-issued for a new address)
CHARGES
Debts of between £125 – £300 (County Court)
All Charges are exclusive of VAT
| Court Fees onIssue See Note *1 | Our FeesExcl Court Fees & VAT See Note *2 | Costs claimed from debtor on issue See Note *3 | Net Payment by you assuming full recovery See Note *4 | |
| Stage 1 | N/A | £20.00 | N/A | £20.00 |
| Stage 2 | £30.00 | £135.00 | £80.00 | £85.00 |
| Stage 3 | £100.00 | £70.00 | £77.00 | £93.00 |
Debts of between £300.01-£500.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note*3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £45.00 | £135.00 | £95.00 | £85.00 |
| Stage 3 | £100.00 | £70.00 | £77.00 | £93.00 |
Debts of between £500.01 – £1,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £65.00 | £135.00 | £135.00 | £65.00 |
| Stage 3 | £100.00 | £70.00 | £77.00 | £93.00 |
Debts of between £1,000.01 – £1,500.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £75.00 | £135.00 | £155.00 | £55.00 |
| Stage 3 | £55.00 | £70.00 | £77.00 | £48.00 |
Debts of between £1,500.01 – £3,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £85.00 | £135.00 | £165.00 | £55.00 |
| Stage 3 | £100.00 | £70.00 | £77.00 | £93.00 |
Debts of between £3,000.01 – £5,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £108.00 | £135.00 | £188.00 | £55.00 |
| Stage 3 | £100.00 | £70.00 | £77.00 | £93.00 |
Debts of between £5,000.01 – £15,000.00 (County Court)
All Charges are exclusive of VAT
| Court fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £225.00 | £180.00 | £325.00 | £80.00 |
| Stage 3 | £100.00 | £70.00 | £85.00 | £85.00 |
Debts of between £15,000.01 – £50,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £360.00 | £210.00 | £460.00 | £110.00 |
| Stage 3 | £100.00 | £70.00 | £85.00 | £85.00 |
Debts of between £50,000.01 – £100,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £630.00 | £250.00 | £730.00 | £150.00 |
| Stage 3 | £100.00 | £100.00 | £85.00 | £115.00 |
Debts of between £100,000.01 – £150,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *2 | Costs claimed from debtor on issueSee Note *3 | Net Payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £810.00 | £265.00 | £910.00 | £165.00 |
| Stage 3 | £100.00 | £100.00 | £85.00 | £115.00 |
Debts of over £150,000.00 (County Court)
All Charges are exclusive of VAT
| Court Fees on IssueSee Note *1 | Our Fees Excl Court Fees & VATSee Note *3 | Costs claimed from debtor on issueSee Note *3 | Net payment by you assuming full recoverySee Note *4 | |
| Stage 1 | £N/A | £20.00 | £N/A | £20.00 |
| Stage 2 | £990.00 | £300.00 | £1090.00 | £200.00 |
| Stage 3 | £100.00 | £100.00 | £85.00 | £115.00 |
Notes
*1 These you pay as a fee to the Court
*2 These are for our fees. VAT must be added to this figure. Expenses we may incur on your behalf must be added as appropriate.
*3 There are costs that the Court will normally add to the debt and allow you to recover from the debtor inclusive of the Court fees mentioned at *1.
*4 These figures are for guidance only. They assume that the debt and costs allowed by the Court are recovered from the debtor in full. The figures shown are subject to VAT. This figure may be offset by the recovery of interest.