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bad debt

how far to go

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i've always been pretty lucky with clients and not really had any bad debts ever

we have a client now who is well overdue for payment, they havent responded to emails / letters / phone calls

we've made a small claims claim, which has been awarded to use, but the client still hasnt paid.

next step is to try enforcement, but this means extra cost to us and still no gaurantee of any payments coming our way

how far do you go and at what point do you say we'll write it off?

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By bernard michael
22nd Feb 2018 10:44

Is the client a limited company or an individual/partnership?
The bailiff's charge is added to the total debt to be recovered if successful
However it depends on the size of the debt whether you can be arsed as your time is valuable

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By ohgoodgodno
22nd Feb 2018 10:47

its a sole trader client

debt is around £700, would rather not let it go

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By bernard michael
22nd Feb 2018 10:58

The County Court Bailiffs charge £110, which is added to the debt if it is recovered
If you want to be nasty you can transfer the matter to the High Court to be collected by the High Court Enforcement bailiffs ( the nasty people you see on TV in Can't Pay we'll take it away) They tend to be more successful as they only get paid by results but their approach can be daunting for the debtor

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Replying to bernard michael:
By Accountant A
22nd Feb 2018 11:11

bernard michael wrote:

( the nasty people you see on TV in Can't Pay we'll take it away)

Really?? I think they are the paragon of professionalism. I can't believe how they manage to maintain their composure in the face of frequent verbal and physical threats.

It certainly doesn't sound as if the OP's debtor has done anything to warrant the OP not proceeding with enforcement. Seems like another p**s taker trying to get something for nothing.

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By carynw
22nd Feb 2018 11:02

Depends on the value of the claim?
If its over £600 and this includes the claim, interest and court fees then you can apply to have it transferred to the high court. There is a fee but this is also added on to the amount to be claimed. The high court send out sherrifs who have the power to enter property & seize goods and basically have more power than normal bailiffs.

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Replying to carynw:
By Duggimon
22nd Feb 2018 11:39

Anyone had any luck using this on HMRC when they're four months late on a tax repayment?

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By jcace
22nd Feb 2018 21:00

Have you tried visiting the client? It can sometimes be successful.

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