Debt Collection can be very challenging hence it must be dealt with by professionals. Debt Collection Dubai is under the umbrella of UAE Laws, e.g. Civil Laws, Commercial Laws or Business Laws. A special protocol has to be followed for the recovery of debt. For this purpose, debt collectors or debt collection agencies are contacted.
Debt Recovery Dubai work for an organization or debt collection agencies, or the Law Firms. They contact people who owe money to an organization. They have to work closely with customers to communicate with them to know how much they owe the company, set a payment deadline, and assist them with a payment plan to eventually resolve their debt.
The Debt Collection in Dubai proceeds through a proper channel, firstly, the agencies start sending notices to the defaulters. This is an initial courtesy step that is taken before continuing any further proceedings. If the defaulter fails to pay up even after receiving repeated notices, then the agency sends out a legal notice on behalf of their client.
The most innovative way of getting repayment from your client is by continuously calling them and asking for their dues. The agencies then send shock waves among the defaulters in a subtle way. They send their staff to the debtor’s office or residence, who remain there until they do partial payments or show some kind of assurance.
Debt collection agencies may resort to public shaming tactics by putting the defaulter’s name, picture, address, and personal information on their notice board or even on the Internet. This is done to put pressure on them so that they pay up their dues.
Even after doing all these things, if the defaulters still fail to repay the debts it means that it is the point when the agencies take drastic measures against them which may include filing a case in a Court of Law.
Debt collection in Dubai is a legal procedure directed by debt collectors or debt collection agencies in accordance with civil law. Lawyers representing debt collection agencies on behalf and as per the request of clients and corporations can collect any debt or dues because of having extensive knowledge of the laws dealing with debt collection. Most companies prefer to handle any debt case with lawyers because they know how best to proceed to collect any debt as per the law.
The longer companies let outstanding debts go unpaid, the lower the chances of recouping your money. Most companies send past-due accounts to a collection agency when they are 90 to 120 days over the due date. If you wait longer than 120 days, the corporation is less likely to recover the debt.
Before calling the experts, there are two steps companies can tackle on their own. Firstly, give debtors some opportunities to pay their dues. If phone calls and emails are ineffective, a proper and formal demand letter is sent requesting the due payment. This formal letter has legal credibility.
If the demand letter or legal notice is ignored, then it’s time to require help from court. They understand how to collect debts while keeping in mind the laws of Debt Collection. Clients of respective agencies also get legal protection once they work with a collection agency. The last thing a renowned company wants is to face legal action because of the way one attempted to collect a debt. A reputable collection agency knows the principles and regulations.
Furthermore, one has less chance of being sued if one hires an accredited and highly-rated collection agency. The collections success rate tends to be higher when one works with a professional collection agency than if one tries to collect the debt themselves.
The Legal Procedure
It means to file the Civil Lawsuit. It means to file the Commercial Lawsuit. It is a Civil in nature case where, cases are dealt in number of courts in order to get the judgement. For bounced cheque cases now urgent civil cases are filled and quick executions are opened.