The procedure of recognition the debtor before the creditor and the liability to return borrowed funds, which involves obtaining legal decisions for enforcement proceedings.
The procedure of collecting debts in court allows you to recover debts even if the debtor refuses to pay it off.
Provided there is sufficient evidence, legal practice in dealing with debt collection is positive in most cases. As evidence, you can use all signed documents (including repayment schedules, agreements, receipts), offer contracts, electronic correspondence, sms notifications, witness statements, and so on.
The procedure of collecting debt through the court is the following:
1) Collection and preparation of all documents that confirm debt existence
2) Statement of claim preparation and its submission to court
3) Direct participation in court hearings
4) Supervision up to the delivery of the judgement
The main aim of this stage is to confirm the failure by the debtor to fulfill the obligations and forceful return of the debt.
The amount of money, including interest, penalties and fines for the usage of credited funds, are further written off from the debtor’s accounts, and in case of its absence or shortage of funds, a foreclosure on the debtor’s property takes place. In addition, the money spent by the lender to conduct the procedure can be shifted to the debtor.
This stage is called enforcement proceedings.