So you've been notified that you need to start debt collections in Ireland? Don't worry, you're not alone. This process can be daunting, but with the right guidance it can be a relatively easy process.
Below we've outlined everything you need to know about debt collections in Ireland. This includes how the amicable debt collection procedure works, what are the steps for legal debt collections, and what are the benefits of using a local Irish Debt Collection Agency.
We've also included a brief explanation of the Court system in Ireland for commercial debt cases, as well as some funny facts about debt collections services in Ireland. And lastly, we've compiled a list of 10 interesting economical facts about Ireland.
Overview of the Debt Collection Process in Ireland
When a company in Ireland is owed money by a customer, the first step is to make initial attempts to collect the debt via calls and letters. If this doesn't work, the next step is to go through the amicable debt collection procedure. This is a process that's divided into two stages, and it's usually the only step needed to get the debt paid.
The amicable debt collection procedure is very straightforward. The debtor is contacted by the creditor (the company that's owed money) and given a chance to settle the debt. If they refuse or can't pay, the creditor can take them to court. However, going to court should be a last resort, as it can be costly and time-consuming for both parties.
7 Benefits of Using a Local Irish Debt Collection Agency
There are many reasons why you should consider using a local Irish debt collection agency to recover your outstanding debts. Here are 7 benefits of using a local agency:
- They know the Irish market and customs inside out, so they can better understand your business and the legal process.
- They have an extensive network of legal contacts and resources, which means they can get the job done quickly and efficiently.
- They are well-versed in Irish law and debt collection procedures, so you can be confident that they will act within the law at all times.
- They understand the unique cultural sensitivities around debt collection in Ireland, so they can handle negotiations with professionalism and tact.
- They offer a high level of personal service, so you will always be kept up to date with progress on your case.
- They have a proven track record of success in recovering debts for clients in Ireland.
- They offer competitive rates and are fully insured for your peace of mind.
How to Collect Business Debt in Ireland
So you've decided to collect your business debt in Ireland. What's the process?
Below is a handy guide to help you navigate your way through the Irish court system. But before you get started, it's important to understand that there are certain steps that must be followed in order to legally collect a debt in Ireland.
- Get documentation in order
- Send a Letter of Demand
- Wait 21 days
- Contact a Debt Collection Agency
- Take legal action
The Court System in Ireland for Commercial Debt Cases
Let's take a look at the court system in Ireland for commercial debt cases. If a debtor is unable to pay and all attempts to contact them fail, a solicitor may be appointed to issue legal proceedings on behalf of the creditor. Depending on the value of debt, proceedings are issued either in the District Court or High Court of Ireland. The District Court is the most common court used for debt collection claims and it tends to be far quicker than High Court proceedings.
If a case is issued in the District Court, the claimant will send a solicitor’s letter to the debtor with the particulars of claim. The debtor will then be given 28 days to enter an appearance. If they do not, then a default judgement will be entered. This court order will allow the claimant to issue an enforcement order to recover the amount owed.
On the other hand, if the debtor chooses to enter an appearance, the case will be adjourned for a hearing. At this stage, either party may enter a settlement agreement or the court may make a determination on liability. If the court finds in favour of the claimant, then a court order will be made against the debtor that will require them to pay the sum owed. If a debtor fails to pay the sum due, then further enforcement action may be taken against them.
For more complex cases, the claimant may decide to commence proceedings in the High Court. The procedure is slightly different here and the claimant must serve a summons before the defendant is required to enter an appearance. The High Court is generally more expensive than the District Court and much more complicated. It also tends to be much slower as well, so it should only be used if seeking large damages or if the debtor’s assets are worth large sums of money.
The Irish court system is highly regarded internationally for its efficiency and fairness—especially when it comes to debt collection. The process for recovering debts can be complicated but it's important to remember that there are always legal avenues available whether you are an individual or a business. Ultimately, you'll need to work with an experienced law firm or debt collection agency who can guide you through this process in the most effective way possible.
Fun Facts About Debt Collections Services in Ireland
Debts in Ireland are handled differently than in other countries, so here are a few fun facts about debt collection services there. First, did you know that the first debt collection agency in Ireland opened up in the 1970s? They provided an invaluable service to businesses by helping them manage their debts and recover any unpaid amounts.
Second, did you know that Irish debt collectors have to adhere to many laws and regulations? This is to ensure that they collect debts in a respectful and professional manner. Finally, did you know that Ireland has one of the lowest default rates for debts among other European countries? This speaks to the strong credit culture that exists there and offers peace of mind for businesses when it comes to recovering their debts.
10 Interesting Economic Facts About Ireland
In order to further understand the process of debt collection in Ireland, let’s take a look at some fun facts about the economy of the Emerald Isle. Here are 10 interesting economic facts about Ireland that you should know:
- The Irish economy is heavily based on the services industry, making up around 80.9% of the total GDP.
- Ireland has experienced impressive economic growth since the 1990s and is one of the fastest growing economies in Europe.
- Ireland’s population is highly educated: as of 2019, over 35% of its citizens hold an undergraduate degree or higher qualification!
- The Irish economy has one of the highest levels of foreign direct investment per capita in the world.
- The Republic of Ireland has one of the lowest levels of public debt in Europe, at 45% of GDP in 2020.
- Exports account for over 60% percentof total economic output and over €10 billion was generated by exports every month in 2018/2019 period
- The top export categories include drugs and medicines, chemicals, machinery and electronics, and live animals, among others.
- In 2019, over 1 million visitors visited Dublin alone to explore beautiful landmarks such as Trinity College, St Stephen’s Green Park and Guinness Storehouse!
9 .Ireland spends more on research and development than any other country in Europe relative to its population size – 2% compared to around 0.8%.
10 .The Irish government offers generous incentives for companies that set up a base there; for example, providing 12-year corporation tax exemptions for start-ups!
So, there you have it! Everything you need to know about the debt collection process in Ireland. Whether you are looking to collect a personal debt or a business debt, using a local Irish Debt Collection Agency is the best way to ensure a smooth and successful outcome.
Plus, by using an Irish Debt Collection Agency you can benefit from:
- Amicable debt collection procedure
- Fast debt collection
- Low debt collection fees
- No hidden fees
- 100% client satisfaction
- Professional and courteous debt collectors
- Full legal debt recovery service
- Business debt recovery in the Court system
- Irish economy at a glance