Debt Collection
Toller Beattie LLP are able to offer an outsource facility to assist in recovering unpaid invoices at an early stage. It is our experience that the longer an invoice remains unpaid, the more chance that it may become irrecoverable. We are able to offer cost effective fixed fees for debt collection work.
Details of our fixed fees are included in the table below.
For further information or to register for this service please contact Staci Dorey, Solicitor, Litigation Department.
Letter Before Action
We are able to offer a very competitive fixed fee for sending a letter before action for £20 plus VAT for new clients and £1 plus VAT for existing clients.
In the event that payment is made after the letter before action is sent then we will charge a further fixed fee as follows:-
|
Amount recovered |
Toller Beattie's fixed fee |
|
Up to £500 |
£15.00 plus VAT |
|
Up to £1,000 |
£20.00 plus VAT |
|
Up to £1,500 |
£25.00 plus VAT |
|
Up to £3,000 |
£30.00 plus VAT |
|
Up to £5,000 |
£35.00 plus VAT |
|
Up to £15,000 |
£40.00 plus VAT |
|
Exceeding £15,000 |
£45.00 plus VAT |
Court Action
Thereafter, if it is necessary to issue court proceedings and provided the claim is for less than £100,000 then we will be able to issue proceedings through the Claims Production Centre. This is an on-line service and the court fees are cheaper than if a claim was issued in the local county court.
Fixed costs and the Court fee are in principle recoverable from the debtor and our costs are set out below. These are again calculated on a sliding scale depending on the value of the claim. If the claim is successful but the debtor is unable to satisfy any judgment our costs will still become payable and they are as follows:-
|
Debt Amount |
Court Fee (Money claim online) |
Fixed Recoverable Costs from Court |
Our costs (Plus VAT) |
Debtor pays |
Non recoverable costs by you |
|
£25 to £300 |
£25 |
£50 |
£65 |
£65 |
£15 |
|
£300 to £500 |
£35 |
£50 |
£75 |
£80 |
£25 |
|
£500 to £1,000 |
£60 |
£70 |
£110 |
£125 |
£40 |
|
£1,000 to £1,500 |
£70 |
£80 |
£125 |
£145 |
£45 |
|
£1,500 to £3,000 |
£80 |
£80 |
£130 |
£155 |
£50 |
|
£3,000 to £5,000 |
£100 |
£80 |
£140 |
£165 |
£60 |
|
£5,000 to £15,000 |
£210 |
£100 |
£170 |
£290 |
£70 |
|
£15,000 to £50,000 |
£340 |
£100 |
£180 |
£410 |
£80 |
|
£50,000 TO £100,000 |
£595 |
£100 |
£190 |
£650 |
£90 |
VAT is not recoverable on the fixed costs that the debtor has to pay but can be reclaimed by you if you are VAT registered.
Interest can also be claimed on the outstanding debt. If your invoice specifies that contractual interest is payable, then interest will be claimed on that basis. Otherwise statutory interest of 8% per annum will be claimed. If the claim is for more than £5,000 then interest continues to accrue until the debt has been paid.
Following the Court action if money is recovered from the debtor then we will charge a fixed fee based on the amount recovered as follows :-
|
Amount Recovered |
Percentage of sum recovered |
|
Up to £1,000 |
3% of sum recovered |
|
Up to £5,000 |
5% of sum recovered |
|
Exceeding £5,000 |
7.5% of sum recovered |
In addition we will retain the fixed costs awarded by the Court.
If a judgment is obtained from the Court and the Debtor still fails to pay then it will be necessary to take enforcement action. Judgements can be enforced in one of several ways:-
|
Type of Enforcement |
Court fee |
Toller Beattie's fees (plus VAT) |
Fixed recoverable costs |
|
County Court Bailiffs Warrant |
£100 |
£15 plus VAT |
£2.25 |
|
Enforcement by the High Court Enforcement Officer |
£50 |
£20 plus VAT |
|
|
Attachment of Earnings |
£100 |
£20 plus VAT |
£8.50 |
|
Third Party Debt Order |
£100 |
£75 plus VAT for issuing application |
If amount less than £150 then one-half of the amount recovered is payable. Otherwise recoverable costs are £98.50. |
|
Charging Order |
£100. In addition there will be £4.00 per property for copies of the title documents from the Land Registry and fees of £100 plus VAT to register the interim charging order and £100 to register the final charging order
|
£190 plus VAT. Additionally, if it is necessary for an Agent to attend a hearing out of the area this is likely to cost £100 to £150 plus VAT |
Debtor will be required to pay court fees and in addition ordered to pay fixed costs of £110.
|
