New Zealand Debt Collection – No Win No Fee
Creditreform operates a global specialist International debt collection service. We have local offices and fully approved expert international debt collection agency partners in every country worldwide. All our International debt collection agency partners and offices operate on a No Win No Fee basis charging an agreed commission against monies recovered only.
– Location of office in New Zealand
– Number of staff
– How long been operating in New Zealand
– What type of debts do you recover?
We cover both commercial (B2B) and consumer (B2C) debts.
– Statute of limitation in New Zealand
6 years from the date of last payment (not invoice). District / High Court Judgments 12 years.
– How many registries in New Zealand for businesses? (i.e. UK just has 1 central registry)
1 registry in New Zealand
– What is the process in New Zealand?
B2C (Consumer) debts we need to ensure the subject can be 100% identified before pursuing
B2B (Business) debts there are NO privacy issues unless a personal guarantee(s) is enforceable on a NZ Director(s) / Shareholder(s)
– Average length of time to collect?
B2B pre legal we have a 48% success rate average paying days 57, B2C 100 + days
– Can late payment fees / interest be added to claims?
Can only legally be claimed and pursued for if the debtor completed i.e. Credit Account Application and duly noted and signed the appendix T’S & C’s.
Whilst the creditor is legally entitle for reimbursement the debtor does not have to pay, unless these have been claimed and awarded in District / High Court sealed judgment.
– Details on legal service / process in New Zealand
For B2B debts if there is no guarantors then a Statutory Demand (under section 289 of The Companies Act can be issued providing the original debt (no added costs) is greater than $1,000. Generally you would not issue unless you are prepared to go the whole way and have them placed in liquidation, , most costs awarded on a successful action, but the creditor will remain unsecured unless holding security or charge on assets. Enforcement of judgments = Creditors Petition “Bankruptcy”, Order of Examination (conducted by a Deputy Registrar of the District Court) debtor gives FULL disclosure of their financial position [An order maybe made to pay the debt in full (lump sum) or time payment, the courts may also grant a attachment order if the judgment debtor is in paid employment or a government assistance benefit, generally not when the debtor is self-employed. District Warrant, order to seize assets, generally these are vehicles, Boats Jet Ski, personal effects and tools of trade will not be seized. If the judgment debtor owns property a charge can be registered, at extremes a charging order placed on the property a order for a forced sale, however, best that Bankruptcy Proceedings are commenced as not all sitting Judges grant charging orders. At times we also recognise and enforce overseas judgments. A great piece of legislation for the countries that fall under the Sovereignty the likes of UK, India [The Reciprocal Enforcements of Judgments Act 1934]. Yes we have had ex pats left huge debts behind in the UK come to NZ buy property etc and use that asset as a lien, the debtor(s) generally want to pay the debt without this action. We do many property searches this also includes any undeveloped land, we can search by name only and the entire country, in Australia you have to do State by State and rather expensive, here a basic property ownership will set clients back a small fee. If there are mortgages, charges etc, it would pay to obtain a copy of the Mortgage Instruments, these are expensive but will tell you how much they owe and then a financial decision can be made to go after the property or not in lieu of payment of the debt.
– Skip Tracing
In recent months New Zealand privacy laws have got tougher to find transient debtors, some can be found on various databases but we are seeing more to utilise external skip tracers most work on a No Find No Fee basis.
There are many unique requirements to recovering international debts in all countries including New Zealand debt collection services which differ from the UK and therefore it is very important that cases are handled directly by our expert international debt collection agency in that country and not from the UK office only. This method of international debt collection sets Creditreform aside from the competition who in many cases try and recover debts from a UK office base only. Using the local offices and partners enables us to achieve a far greater success rate and our No Win No Fee service together with competitive commission rates against monies recovered only ensures you get the best service.