In the realm of medical equipment exports to Sweden, the process of chasing down payments is crucial for maintaining financial stability and ensuring successful transactions. This article delves into the Recovery System for Chasing Down Payments and explores Collection Rates and Fees associated with the process. Understanding these key aspects is essential for companies engaged in international trade.
Key Takeaways
- Implementing a structured Recovery System is vital for efficiently chasing down payments in medical equipment exports to Sweden.
- Collection Rates and Fees vary based on the number of claims submitted and the age of the accounts, with different rates for accounts under $1000.00 and those placed with an attorney.
- Phase One of the Recovery System involves initial contact with debtors through letters and skip-tracing, followed by escalation to Phase Two if initial attempts fail.
- Phase Two includes legal intervention by forwarding the case to affiliated attorneys for further action if resolution is not achieved through initial contact methods.
- Phase Three presents two options: closure of the case if recovery is unlikely or proceeding with litigation, with associated legal costs and potential recovery of funds.
Recovery System for Chasing Down Payments
Phase One
In our relentless pursuit to secure payments, we hit the ground running. Within 24 hours of an account placement, our team springs into action. We dispatch the first of four letters, ensuring the debtor is aware of their obligation. Our collectors delve deep, skip-tracing and gathering the most up-to-date financial and contact information.
We’re persistent, making daily attempts to reach a resolution through calls, emails, texts, and faxes. The goal is clear: to settle the matter swiftly. If our efforts don’t yield results within the first 30 to 60 days, we’re ready to escalate to Phase Two.
Our commitment is to maintain a steady pressure, optimizing every opportunity to recover what’s owed to you.
Here’s a snapshot of our initial approach:
- Dispatch of the first letter via US Mail
- Comprehensive skip-tracing and investigation
- Persistent contact attempts: phone, email, text, fax
Phase Two
Once we escalate to Phase Two, the stakes are higher. We’ve handed your case to a local attorney within our network, and here’s what unfolds:
- The attorney drafts a series of demanding letters on their firm’s letterhead.
- Parallel to the letters, the attorney’s team begins persistent phone outreach.
Despite these intensified efforts, some debtors remain unresponsive. If this happens, we’ll candidly discuss the hurdles and advise on the potential for Phase Three.
Should we hit a wall, we don’t just throw in the towel. We reassess and prepare for the possibility of litigation, always keeping your best interests at the forefront.
Phase Three
At the crossroads of Phase Three, we face a critical decision. Our recommendation hinges on the debtor’s asset investigation and the likelihood of recovery. If prospects are dim, we advise case closure, at no cost to you. Conversely, should litigation seem viable, the ball is in your court.
- If you opt out of legal action, you can withdraw the claim, free of charge.
- Choosing to litigate incurs upfront costs, typically $600-$700, based on jurisdiction.
Upon your decision to litigate, we mobilize, filing a lawsuit to recover the full amount owed, including filing costs. Failure to collect post-litigation? You owe us nothing.
Litigation is a path tread with caution, but we stand ready to enforce your rights to the fullest. Remember, our commitment is to your financial recovery, with transparency and integrity at every step.
Collection Rates and Fees
Rates for 1 through 9 Claims
When we tackle fewer than ten claims, our fee structure is straightforward. We’re committed to transparency in our pricing, ensuring you know exactly what to expect.
For claims that are less than a year old, we charge a 30% fee on the amount collected. It’s a fair rate for the diligent effort we put in to secure your payments. But when claims age beyond a year, the complexity often increases, and so does our fee to 40%.
Small claims under $1000 carry a higher fee of 50%, reflecting the intensive work required for these nuanced cases. And if we need to involve an attorney, the fee remains at 50%, given the legal expertise brought to the table.
Here’s a quick breakdown:
| Age of Account | Fee Percentage |
|---|---|
| Under 1 year | 30% |
| Over 1 year | 40% |
| Under $1000 | 50% |
| With Attorney | 50% |
Remember, these rates apply to the first nine claims within a week of placing your first account. Our goal is to make the recovery process as smooth as possible for you.
Rates for 10 or More Claims
When we handle 10 or more claims, we’re talking about volume—and with volume comes a more favorable fee structure for you. We scale our rates down to reflect the bulk of work we’re undertaking. Here’s how it breaks down:
| Age of Account | Rate of Collection |
|---|---|
| Under 1 year | 27% |
| Over 1 year | 35% |
| Under $1000 | 40% |
| With Attorney | 50% |
Remember, these rates apply to the amount collected, not the amount billed. It’s a performance-based system that aligns our interests with yours—we only succeed when you do.
Our commitment to efficiency and effectiveness is unwavering. We’re here to ensure that your financial interests are protected, and that every claim is pursued with the utmost diligence.
Frequently Asked Questions
What is the Recovery System for chasing down payments in medical equipment exports to Sweden?
The Recovery System consists of three phases. Phase One involves sending letters to debtors, skip-tracing, and attempting to contact debtors for resolution. Phase Two includes forwarding the case to an attorney if initial attempts fail. Phase Three involves either recommending case closure or proceeding with litigation.
What happens if all attempts to resolve an account fail in Phase One?
If all attempts fail in Phase One, the case moves to Phase Two where it is forwarded to an attorney within the debtor’s jurisdiction.
What are the options in Phase Three if recovery is not likely?
If recovery is not likely in Phase Three, the options are to close the case with no owed fees, or proceed with litigation at the client’s decision.
What are the costs involved in proceeding with legal action in Phase Three?
The costs include upfront legal fees such as court costs and filing fees, typically ranging from $600.00 to $700.00 depending on the debtor’s jurisdiction.
What are the collection rates for 1 through 9 claims?
For 1 through 9 claims, rates range from 30% to 50% of the amount collected, depending on the age of the accounts and whether they are placed with an attorney.
What are the collection rates for 10 or more claims?
For 10 or more claims, rates range from 27% to 50% of the amount collected, depending on the age of the accounts and whether they are placed with an attorney.
