Services

Early collection

Characteristics

Financial and Telecom sectors are the ones, who need the most this service, nevertheless Clients from the Utility and Trade sectors are also often turning to us.

The Financial / Banking sector has an imperative demand to collect receivables within 90 days overdue, otherwise according to the Basel 2 Convention they must do a 100% provisioning not only for the overdue, but for the debtor’s whole amount of the overdue balance. The exact price depends on the volume, average volume of the cases, availability of the phone numbers and last but not the least of the aging.

From the Telecom sector, especially mobile and fixed phone companies we have an increasing demand to urge, to incite late payers in order to pay one more bill or to maintain them as customers. Our expectation is that the phonelines should be only one-way disconnected, thus we may be able to contact them one more time on the already known number. Our prices are depending on volume, average value of the cases, aging, and the ratio of perceived / expected FRAUD cases.

In the Utility sector mainly the Electricity providers are requiring our Early Collection service. In our philosophy a case may be classified as „Early” if the consumer has not yet been disconnected. Why is this advantageous for the Electricity Distributor? Ono ne hand disconnection / reconnection from-to the network is prohibitively expensive, on the other hand it creates very bad social, economical and political opinion. It is a simple fact, that without electricity no-one may live on civilised standards. We must give a last chance to pay to our fellow-citizens before we disconnect them. Obviously the Electricity Distributor has sent dunning letters and did all of its best given the frame of mass-communication. Contrarily, before disconnection we establish a personal communication with the debtor and we inform them on the consequences of non-payment. If it turns obvious, that a given debtor may not be in the position to pay, we will warn them not to purchase perishable goods. Our prices are depending on the volume, the average value and the existence and accuracy of the phone numbers.

In the Trade sector, mainly exclusive importers and whole-sellers are asking for our services. In the Trading sector the definition of „Early Collection” means that retailers may have not more than one open account above 30 days and payment of this account is the precondition of further supplies. This service is mainly needed by those companies, who have monopoly rights to distribute a branded product/service. For example dealers of matches or lighters may not need us, but dealers of cigarettes do. Bakeries not, washing powders yes. Since consumers are having remarkably high brand loyalty in these cases, they would simply turn to another shop if they cannot find their favorite brands in the shop around the corner, thus the shop cannot afford the massive loss of customers. They have no other choice, but to pay, the Whole-seller just must go for the money. Although the claims in the early stage may be collectible on a ratio of almost 100%, it needs to be invested a lot of energy in it, for example identifying the person in charge only may take a lot of time and energy.

Outsourcing late collection

Characteristics of the cases

Contrary to Early Collection, the Hard Collection may apply to almost any segment of the economy. Usually there are no ongoing transactions between our Client and the Debtor, but Court Process has not been started yet. Age of the debt may be anything from 60 days up to 6 years. Values of the Claims may be anything between 10€ and 100.000€. Cases may be accurately, partially or completely uncovered by proper documentation. We will take all legal steps in order to collect the rightful Claims.

Our Collection Process:

In case of lower value claims our collection process lasts for 90 days while in case of higher value cases may take 120 days. During the collection process we establish contact with the debtor by correspondence, by phone or by personally visiting them while we will all the time respect their personal rights and the data protection law.

Our pricing policy:

Taking into consideration the diversity of the cases, it is pointless to talk about a flat rate, so we stuck to one win-win principle: Our service is based on Success Fee, which means, that if we do not collect, we do not charge.
The level of our success fee depends on the nature of the cases, the age, the value, existence and reliability of personal data. Should You be our next Client (and willing to get a price offer), please turn to our sales representative.

Property auction

The increasing overdue receivables of mortgage banks created a need for us to come up with a fast, effective and transparent solution to improve their success in that recovery.

Our auction team aims at advertising the auctions widely and selling real properties at the highest possible price.
Unfortunately, there was a lot of abuse in this area in the recent years, therefore CREDITEXPRESS tries its best to operate transparently and controllably.
We work by focusing on the joint interests of the debtors and our partners in compliance with the provisions of the current legislation.

Debt purchase

The service

Companies engaged in debt purchase provide a financial service whereby they finance the collection and assume the client’s company risk; in other cases they purchase and collect overdue receivables, some of which have already been litigated.
In the philosophy of CREDITEXPRESS debt purchase primarily involves the purchase and collection of overdue receivables.
To whom can we recommend debt purchase?

If a Client has used internal and external assistance to collect his overdue receivables, he may sell them at market price in the very last step.
This is the most economic and wisest decision for a company not specifically dedicated to collection.
Debt purchase is a perfect example of the collection.
Debt purchase requires a professional collection technique, based on the combination of people, knowledge, time and technique, which we have also learnt gradually, during many years of operation.

Debt purchase takes place in a phase of debt management when the Client has already taken all other reasonable steps (perhaps with the exception of litigation and de-recognition from books). In such a case, the sale of receivables as a low price should definitely be considered and may result in multiple benefits:

Even a low price is better than nothing
By closing the transaction the further expenses of legal collections may be avoided
No more time is lost with administration
Provisions may be released as the overdue receivables sold
Corporation profit tax base reduction

Risks of debt purchasing?

Pursuant to the contract concluded between the client and the debtor the debt purchasing company replaces the Client; from that moment the rights and obligations of the client are transferred to the debt collection company. There are no data protection aspects associated with the contract either.

Car repossession

The service

Owners of vehicles –private individuals and companies – who/which are behind with the purchase price installments of their vehicle(s) may consult with our Clients through the mediation of our visitor employees.
Our primarily objective is to facilitate direct communication between our clients and their customers.

Our efficiency

All car repossessioning companies prefer their debtors to pay the outstanding installments and execute the contract rather than return the vehicles. Our company has aimed at successful collection based on this principle for years.
Our success translated into figures:
In 68% of the cases managed by us the debtors are able to settle their outstanding debts!

Fast conclusion of cases

The cases are assigned to our employees within 24 hours after they are transferred to us. With the help of our Extranet collection programme our Clients have immediate access to the status of the assigned cases. During the maximum 20-day collection process, we use all legislative instruments to manage the cases, in which we rely on our visitor network.

Consulting service

Our consulting service is not identical with the classic private banking service. Almost each our consulting task is unique, and the solutions proposed by us are also unique.
Only a few selected experts of our group are entitled to bear the MASTER CONSULTANT title and indicate it on their business cards.
Phases of consulting:

Recognition of the problem – generally our sales employees report collection anomalies or our Clients have special requests.
If the Client requests our service, our consultant presents his expert opinion on the findings at the company in detail.
Following the signature of a confidentiality statement, our consultant makes a proposal within 5 working days. The proposal usually relates to the optimisation of one of the client’s activities, such as, e.g., lending, customer retention, collection, litigation or the combination thereof.

The most popular product these days is collection combined with customer retention, which is increasingly important in the telecommunications industry, as well as in the leasing, life assurance and trade sectors.

Our prices are also unique and the success fee-based pricing is very popular among our Clients.
For further information, please call us on our central telephone number or send us an e-mail to consulting@creditexpress.eu!

Legal collection (Credit Partner)

Many people ask the question why Creditexpress is involved in litigation if it describes itself as a primarily collection company?

CREDITEXPRESS not only collects debts, it also manages debts. The main difference between collection and debt management is that an overdue debt can be recognized and managed almost before it occurs (early collection) and that cases in which no collection can be made during the classic collection process are concluded through litigation.

CREDITEXPRESS can economically manage the legal process of debt management for several reasons.

On the one hand, we rely on the expertise of several attorneys-at-law, lawyers and legal assistants litigating hundreds of almost identical cases, for the purpose of managing receivables efficiently. We do not pay any stand-by fee to our lawyers, but rely on their expertise intensively.

Our lawyers and legal assistants can sensitively represent our Clients’ requirements, answer the question arising during the receivables management process and outline complex legal situations to Clients.

Our legal office has the special infrastructure required for receivables management: we assign trained people, administration software, an IT team, an archiving system, and a quality assurance expert to each case, and we have also re-interpreted the philosophy of legal collection.

The purpose of legal collection is to recover a debt as fast and economically as possible instead of extending the cases or winning them for selfish purposes. In this new philosophy the debtor is one of our most important partners with whom we maintain a permanent relationship. We inform him of the estimated progress and continuously try persuading him to reach an agreement outside litigation by offering him alternatives and warning him about the consequences of default.

We examine each case and if we assume that a particular case would lead to a loss (too low value involved in it, over the statutory limitation period, bankruptcy, phantom counter party) then we notify our Client in time preventing him putting money into cases pre-destined to failure. In our company jobs typically performed by attorneys-at-law (without requiring the qualifications of a lawyer) are performed by collection experts with many years of experience instead of attorney-at-law who do the work faster, more thoroughly and cheaply.

The high degree of success achieved at an early stage can also make the work cheaper. This can be achieved by our qualified customer service staff.