Managing non-payment in industrial equipment trade with Switzerland can be a challenging task. In this article, we will explore a Recovery System for Company Funds and Rates for Collection Services in the context of industrial equipment trade with Switzerland.
Key Takeaways
- The Recovery System for Company Funds includes three phases: Phase One involves initial contact with debtors, skip-tracing, and attempts to resolve the matter; Phase Two escalates to involving affiliated attorneys for legal action; Phase Three provides options for closure or litigation.
- Rates for Collection Services vary based on the number of claims submitted: for 1-9 claims, rates range from 30% to 50% depending on the age and amount of the account; for 10 or more claims, rates range from 27% to 50%.
- Decisions in Phase Three of the Recovery System include closure of the case if recovery is unlikely or proceeding with litigation at additional costs.
- The upfront legal costs for litigation in Phase Three typically range from $600.00 to $700.00, with the option to withdraw the claim if legal action is not pursued.
- DCI offers competitive collection rates tailored to the number of claims submitted, with different rates for accounts under 1 year in age, over 1 year, under $1000.00, and those placed with an attorney.
Recovery System for Company Funds
Phase One
We hit the ground running within the first 24 hours of account placement. Immediate action is our mantra. Our team dives into skip-tracing and investigating, ensuring we have the most accurate financial and contact information on the debtors. We’re relentless, deploying a barrage of communication tactics: phone calls, emails, text messages, faxes, and more.
Our goal is simple: resolve the matter swiftly. Daily attempts to contact the debtors are standard for the first 30 to 60 days. If our efforts don’t yield results, we don’t waste time—we escalate to Phase Two, engaging our network of affiliated attorneys in the debtor’s jurisdiction.
Here’s a snapshot of our initial approach:
- First of four letters dispatched via US Mail
- Comprehensive skip-tracing and debtor investigation
- Persistent collector engagement aiming for resolution
Should Phase One not lead to a satisfactory conclusion, rest assured, we have structured escalation protocols to advance the recovery process.
Phase Two
Once we escalate to Phase Two, our affiliated attorneys within the debtor’s jurisdiction take the reins. They draft demand letters and make persistent calls to ensure your voice is heard. Here’s what we do:
- Draft and send a series of firm demand letters on law firm letterhead.
- Initiate relentless telephone contact, aiming for a swift resolution.
We don’t rest until every avenue has been explored. If the debtor remains unresponsive, we prepare for the final phase, armed with a comprehensive understanding of the case.
Remember, our goal is to recover what’s rightfully yours without unnecessary escalation. But should the need arise, we’re prepared to take decisive action.
Phase Three
At the culmination of our efforts, we face a decisive moment. We assess the viability of recovery and present you with two clear options. If the likelihood of recouping funds is low, we advise case closure, sparing you any further costs. Conversely, should litigation appear promising, you’re at a crossroads.
Litigation entails upfront legal expenses, typically between $600 to $700, which cover court and filing fees. Upon your commitment, our affiliated attorney initiates legal proceedings to reclaim the full amount due, including associated costs. Failure to recover funds through litigation leads to case closure, with no financial obligation to our firm or attorney.
We stand by your decision, whether to withdraw the claim or to persist with standard collection activities. Your financial well-being is our priority.
Our fee structure is straightforward and hinges on the number of claims. Here’s a snapshot:
- For 1-9 claims, rates vary based on the age and amount of the account.
- For 10 or more claims, we offer reduced rates, rewarding your bulk submissions.
We ensure transparency and fairness in our rates, aligning our success with your recovery.
Rates for Collection Services
Rates for 1 through 9 Claims
When we tackle fewer than ten claims, our rates reflect the focused attention we provide to each case. For accounts less than a year old, we charge 30% of the amount collected. This rate ensures that we can dedicate the necessary resources to recover your funds efficiently.
For accounts that have aged beyond a year, the rate increases to 40%, recognizing the additional effort required for older debts. And for those particularly small accounts under $1000, the rate is set at 50%—a reflection of the disproportionate energy needed relative to the amount recovered.
| Age of Account | Rate |
|---|---|
| Under 1 year | 30% |
| Over 1 year | 40% |
| Under $1000 | 50% |
Should legal action be necessary, and the account is placed with an attorney, the rate remains at 50%, regardless of the account’s age or size. This covers the comprehensive legal strategies we employ to secure your dues.
We’re committed to transparent and fair pricing. Our tiered rate structure is designed to align with the complexity and age of each claim, ensuring you get the best possible service for your situation.
Rates for 10 or More Claims
When we handle a volume of 10 or more claims, we’re able to offer more competitive rates. The scale of operations allows us to reduce costs, passing the savings onto you. For accounts less than a year old, the rate is 27% of the amount collected. Older accounts see a modest increase to 35%.
For smaller balances under $1000.00, the rate is set at 40%. It’s important to note that accounts requiring legal action are consistently billed at 50%, reflecting the additional resources involved.
Our goal is to ensure that your recovery process is as efficient and cost-effective as possible.
Here’s a quick breakdown of our rates for bulk claims:
| Age of Account | Rate |
|---|---|
| Under 1 year | 27% |
| Over 1 year | 35% |
| Under $1000 | 40% |
| Legal action | 50% |
Remember, these rates are tailored to encourage bulk submissions, which in turn streamline our collection process. By submitting multiple claims, you’re not only increasing the likelihood of recovery but also benefiting from a more favorable rate structure. Let’s work together to manage non-payment issues efficiently and with financial prudence.
Frequently Asked Questions
What is the Recovery System for Company Funds?
The Recovery System for Company Funds consists of three phases. Phase One involves sending letters to debtors, skip-tracing, and contacting debtors for resolution. Phase Two includes forwarding the case to affiliated attorneys for legal action. Phase Three offers recommendations for either closing the case or proceeding with litigation.
What are the rates for collection services for 1 through 9 claims?
For 1 through 9 claims, the rates are as follows: Accounts under 1 year in age – 30% of the amount collected, Accounts over 1 year in age – 40% of the amount collected, Accounts under $1000.00 – 50% of the amount collected, Accounts placed with an attorney – 50% of the amount collected.
What are the rates for collection services for 10 or more claims?
For 10 or more claims, the rates are as follows: Accounts under 1 year in age – 27% of the amount collected, Accounts over 1 year in age – 35% of the amount collected, Accounts under $1000.00 – 40% of the amount collected, Accounts placed with an attorney – 50% of the amount collected.
What happens if the possibility of recovery is not likely in Phase Three?
If the possibility of recovery is not likely in Phase Three, the case may be recommended for closure. In such a scenario, there will be no fees owed to the firm or affiliated attorney.
What are the upfront legal costs if litigation is recommended in Phase Three?
If litigation is recommended in Phase Three, the upfront legal costs such as court costs and filing fees typically range from $600.00 to $700.00, depending on the debtor’s jurisdiction.
What are the options if legal action is recommended in Phase Three?
If legal action is recommended in Phase Three, the options include proceeding with legal action by paying upfront legal costs or withdrawing the claim without owing fees. Alternatively, standard collection activities can continue to pursue the debtors.
