Debt Collection is regulated in terms of the Debt Collectors Act 114 of 2008 which establishes the Counsel for Debt Collectors (CFDC).The CFDC regulates debt collection companies or businesses.

All Debt Collection companies or businesses must be registered with the CFDC and renew their registration certificates on an annual basis.

Debt Collection companies or businesses normally work on a paid fee or commission basis depending on the agreement they have with their clients.

A Debt Collection service is highly essential for businesses and individuals in that it bridges the income gab for businesses who have customers who are owing small to large amounts of money which can disturb a businesses cashflow significantly, and failure to recover such debts have a potential risk of collapsing the business entirely.

It is on the above basis that every business requires Debt Collection services in order to mitigate the amount of unpaid debt which will automatically increases its turn over.

A Debt Collection process with include calling debtors demanding payment, tracing debtors addresses, contact details and employment details, concluding acknowledgement of debts with debtors on behalf of the creditors and submitting listings on the credit bureau for defaulting debtors.

If the debtors refuses to pay after demand was made, Court Summons are issued and a judgement is obtained and executed against the debtor by attaching their assets, funds in all and any of their bank accounts or garnisheeing their salary.  

For more information contact us now on 010 502 1876 or send an email to info@mvmaroleng.co.za