Businesses have learned the benefit of utilizing the services of a debt collection agency for managing past due accounts but one of the biggest questions is at what point should they take over the process of collection? It is a well-known fact that the more time passes between the ‘due date’ and the customer’s non-payment the harder it is to get what is owed.
In Spain there are specialized debt recovery agencies that understand this dilemma and work with the business as to the timeframe that works best for them. Their goal is to provide quality services with the ability to cross international borders using local experts and representatives to get the account settled one way or another. Legal action is always the last reserve because it is expensive so phone, mail and other options are used as much as possible before this avenue is explored.
The typical range of time frames to acquire a debt include date of posting, 30, 60 or 90 days or it can stretch out even further but as stated above the account becomes more difficult to resolve with the passage of time. Some of the factors in the decision include size of business, typical size of past due debts, affect to the business and other financial considerations.
If the company feels that they are better suited to waiting until 30 days to have the debt collection provider take over then the vendor will work with this during the pricing discussion. You should look for a company that does not charge for file opening, prepayment or subscriptions in order to make the most out of the money you are spending to have this third party resource. Reputation is another key factor that you should research to see how successful they are in recovering past debts for other companies in Spain.
A debt owed has the same affect no matter what country it originates in or where it ends up because the business is the entity that suffers from loss of profit or income. If you have been handling this on your own without successful results then it is time to look at debt collection in Spain that can help out and start satisfying old debts.