How to claim a debt from delinquent clients
Posted: Wed Jan 29, 2025 10:31 am
Crises increase unemployment and reduce the general income of the population. Certain loans become difficult to repay and this leads to an increase in defaults .
The recession following the COVID-19 pandemic will not be immune to this inevitable effect. In fact, according to a study by Bain & Company , unpaid debts could triple compared to those that arose during the 2008 crisis.
For companies, this can lead to delicate confrontations with certain suppliers . Fortunately, the law has the necessary tools to settle contracts quickly.
Today at MÁSMÓVIL Negocios we delve into the iceland number data mechanisms available to fight against late payments and claim a debt in unsolvable cases.
How to claim a debt
You may also be interested in: " Get rid of your debts as a self-employed person with the Second Chance Law "
Impact of late payments by sector
Due to the particularities of each industry and sector, not all companies are equally exposed to late payments .
Based on the experience gained from previous crises, we know that for every 1% drop in GDP, non-performing loans rise by 0.7% . This recession is, however, different because of the reaction of the institutions and the forecasts of an early recovery.
The Bank of Spain expects that " the strong rebound in activity projected for 2021 will imply a faster reduction in the default rate than in other periods of recovery from past economic crises ."
Regardless of the impact of the pandemic, the sectors that will be most affected by defaults will be commerce , hospitality and transport .
If during the financial crisis the real estate sector was the one with the largest amount of loans granted, now it is the services sector that represents 55% of the total credit . Something that will put both companies and families in the crosshairs.
In situations of financial difficulty, defaulters choose to stop paying debts arising from these sectors rather than, for example, their mortgage or car.
Tips before claiming a debt
No business wants to be forced to claim a debt, but sometimes it is not entirely up to you to do so. What you can always do is follow a series of recommendations.
From the specialized law firm Carrillo Asesores, they offer proven advice to handle the process in the most efficient way.
Investigate the debtor's assets beforehand : without sufficient assets, even if there is a final judgment, the accused may not be able to meet the obligations imposed.
Documenting the debt : the importance of invoices and other related documents is key to presenting them as evidence when making a claim.
Collect delivery notes : they are not mandatory, but they are essential to prove that there is a relationship with the debtor and that the service has been performed.
Recovering VAT on unpaid invoices : only if the claim is filed within the time limits "under the conditions provided for in the applicable regulations."
Document the invoiced amount in a check, promissory note or bill of exchange : in this way, in the event of non-payment, you could resort to exchange proceedings , a much faster and more effective process than the conventional one.
Recovering the cost of the legal proceedings : only when the debtor has been ordered to pay, and when the amount owed is less than 2,000 euros.
File an out-of-court claim before going to court : a trial should always be the last option. A burofax or email may result in an informal agreement that is more beneficial for the parties.
Do not wait until the last minute to file a claim : the more time you let pass, the more difficult it is to locate and contact the debtor, and the greater the chances that they will be declared bankrupt .
Types of debts
The problem could not be resolved amicably and the company was forced to file a lawsuit in court . From that moment on, the law provides for three procedures depending on the type of debt accepted as a requirement for them in article 812.1 of the Civil Procedure Law .
Monetary debt
According to article 572 of the LEC , it is the amount of money expressed in the title with letters, numbers or any other legible graphic sign.
Also known as liquid debt , this amount can be accepted as long as it is determined and fixed materially or through calculations. That is, it never leaves room for doubt.
Overdue debt
As its name indicates, it is a debt whose payment term has expired . All monetary debt becomes an overdue debt when this requirement is met.
This classification may include a debt that has not been paid on the due date , or it may occur when early payment is agreed in the case of non-payment of a loan installment.
The recession following the COVID-19 pandemic will not be immune to this inevitable effect. In fact, according to a study by Bain & Company , unpaid debts could triple compared to those that arose during the 2008 crisis.
For companies, this can lead to delicate confrontations with certain suppliers . Fortunately, the law has the necessary tools to settle contracts quickly.
Today at MÁSMÓVIL Negocios we delve into the iceland number data mechanisms available to fight against late payments and claim a debt in unsolvable cases.
How to claim a debt
You may also be interested in: " Get rid of your debts as a self-employed person with the Second Chance Law "
Impact of late payments by sector
Due to the particularities of each industry and sector, not all companies are equally exposed to late payments .
Based on the experience gained from previous crises, we know that for every 1% drop in GDP, non-performing loans rise by 0.7% . This recession is, however, different because of the reaction of the institutions and the forecasts of an early recovery.
The Bank of Spain expects that " the strong rebound in activity projected for 2021 will imply a faster reduction in the default rate than in other periods of recovery from past economic crises ."
Regardless of the impact of the pandemic, the sectors that will be most affected by defaults will be commerce , hospitality and transport .
If during the financial crisis the real estate sector was the one with the largest amount of loans granted, now it is the services sector that represents 55% of the total credit . Something that will put both companies and families in the crosshairs.
In situations of financial difficulty, defaulters choose to stop paying debts arising from these sectors rather than, for example, their mortgage or car.
Tips before claiming a debt
No business wants to be forced to claim a debt, but sometimes it is not entirely up to you to do so. What you can always do is follow a series of recommendations.
From the specialized law firm Carrillo Asesores, they offer proven advice to handle the process in the most efficient way.
Investigate the debtor's assets beforehand : without sufficient assets, even if there is a final judgment, the accused may not be able to meet the obligations imposed.
Documenting the debt : the importance of invoices and other related documents is key to presenting them as evidence when making a claim.
Collect delivery notes : they are not mandatory, but they are essential to prove that there is a relationship with the debtor and that the service has been performed.
Recovering VAT on unpaid invoices : only if the claim is filed within the time limits "under the conditions provided for in the applicable regulations."
Document the invoiced amount in a check, promissory note or bill of exchange : in this way, in the event of non-payment, you could resort to exchange proceedings , a much faster and more effective process than the conventional one.
Recovering the cost of the legal proceedings : only when the debtor has been ordered to pay, and when the amount owed is less than 2,000 euros.
File an out-of-court claim before going to court : a trial should always be the last option. A burofax or email may result in an informal agreement that is more beneficial for the parties.
Do not wait until the last minute to file a claim : the more time you let pass, the more difficult it is to locate and contact the debtor, and the greater the chances that they will be declared bankrupt .
Types of debts
The problem could not be resolved amicably and the company was forced to file a lawsuit in court . From that moment on, the law provides for three procedures depending on the type of debt accepted as a requirement for them in article 812.1 of the Civil Procedure Law .
Monetary debt
According to article 572 of the LEC , it is the amount of money expressed in the title with letters, numbers or any other legible graphic sign.
Also known as liquid debt , this amount can be accepted as long as it is determined and fixed materially or through calculations. That is, it never leaves room for doubt.
Overdue debt
As its name indicates, it is a debt whose payment term has expired . All monetary debt becomes an overdue debt when this requirement is met.
This classification may include a debt that has not been paid on the due date , or it may occur when early payment is agreed in the case of non-payment of a loan installment.