Debt recovery - price transparency
The majority of commercial debt recovery cases are undisputed. In these cases we can offer a competitive fee based upon fixed fees which provides you with clarity and certainty as to the level of costs you are likely to incur. If for any reason additional work is required you would be provided with a detailed estimate based on your specific case.
We have a team of specialist litigators who carry out commercial debt recovery work. Our debt recovery work is varied and the legal costs and disbursements will vary on a case by case basis.
The main stages of the recovery process and the fixed fees and expenses which apply are as follows:
Undisputed Court Claims
Pre-issue
We offer a pre-action review of your paperwork, advising you how we think you ought to proceed and sending a letter of claim to your debtor – a fixed fee of up to £500.00 plus VAT will apply for non disputed cases, depending on the amount of the paperwork and the complexity of your claim.
Issue of proceedings
To issue a claim in the county court, for a non-disputed debt we will charge you a fixed fee as set out below. In addition, you will have to pay the applicable court fee. The amount of the court fee is set by the government and is subject to change from time to time. The fees as set out below are current current costs.
The total amount you will have to pay is dependent upon the size of the debt you want to collect. These fees and costs are in addition to our pre-issue costs described above.
Debt recovery
| Debt Amount | Court fee | Court fee VAT | Our fee - NET | Our fee - VAT | Our fee - GROSS |
|---|
| Up to £300.00 | £35.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £300.01 - £500.00 | £50.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £500.01 - £1,000.00 | £70.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £1,000.01 - £1,500 | £80.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £1,500.01 - £3,000 | £115.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £3,000.01 - £5,000 | £205.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £5,000.01 - £10,000 | £455.00 | Zero VAT | £495.00 | 20% VAT | £594.00 |
| £10,000.01 - £15,000 | 5% value of the claim | Zero VAT | Costs to be charged as per our client care agreement plus VAT | 20% VAT | TBC |
| £15,000 - £200,000.01 | 5% value of the claim | Zero VAT | Costs to be charged as per our client care agreement plus VAT | 20% VAT | TBC |
| Over £200,000.01 | £10,000.00 | Zero VAT | Costs to be charged as per our client care agreement plus VAT | 20% VAT | TBC |
Enforcement proceedings
Once we have obtained judgement against the debtor, you might want to take steps to enforce the judgment if the debtor still does not pay. The cost involved in doing that varies depending on the method of enforcement.