It's essential that you make reasonable efforts to pursue any debts that you are owed. Not doing so can cause serious problems for your cash flow, and in an uncertain economy, that's undesirable to say the least. There may be times, however, when it's simply not worth pursuing any more.
Should You "Give up" on a Debt?
In most circumstances, it's always worth investing reasonable effort and resources into arranging the collection of any debt you're owed. For many people, the non-payment of debt is down to a mismanagement of finances. In these situations, they can respond well to reworking their repayment plan to make payments easier to afford - this means you get paid less over longer, but it's better to have that than not be paid at all. There are times, however, when not paying a debt is more malicious.
In a case where someone has deliberately avoided the debt and moved, as has been known, it can cost you a considerable amount of money to try and get that debt reclaimed. Similarly, you may find the person simply has nothing. If there's no money or assets to pay you back with, it's pointless getting a judgement against them as there's nothing to take. This may mean the effort and investment needed to chase the debt down is well in excess of what the debt is actually worth.
Remember that you have two clear options for chasing debt - doing it yourself, or investing in professional debt recovery agency. Neither are free, because debt recovery will require financial investment, but doing it yourself will require time. This may mean it is simply impractical to invest whichever resource is necessary.
Getting Legal Advice
If you're unsure of what to do with an outstanding debt owed to you or your business, get professional legal assistance. The team at Bowsers Solicitors, for example, can examine the circumstances surrounding the debt and help you come to a conclusion as to whether or not it's important for you to pursue it. We can help you to break down the costs required for retrieving the debt, as well as inform you of the legal process required to get a judgement so you can make an informed decision.
If you have an unpaid debt you need advice on, contact Bowsers Solicitors today.
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