When a payment is late, this can cause significant disruption to your business.  We can offer a dedicated service to assist you in recovering sums due to you.  We may charge more than other service providers who offer bulk debt recovery services but we can offer you a more personalised service and, importantly, we still charge less than other large (or even smaller) firms in the local area.

We would like to support you in the credit control operation of your business and work closely with you.  By sending one of our Letter of Claims to your debtor, you are formalising the approach; we will support you with sound commercial advice throughout.  We work on a fixed fee structure where possible for standard undefended cases.  On all other matters we charge on a time spent basis.

What we need from you to start the process:

  1. Debtors details including trading style, eg Sole Trader, Partnership, Limited Company etc;
  2. Proof of the contractual arrangement which caused the debt to occur;
  3. Proof of the debt, any invoices raised, the date payment was due and any part payments that have been made payment terms; and
  4. Any correspondence already with the debtor.

If we need to trace the debtor or their assets this will need to be considered separately.

Stage one: Letter of Claim

Level of Debt

Russell & Co Fee (£) Plus VAT

Less than £1,000

80.00

£1,000 to less than £10,000

140.00

£10,000 and over

200.00

** Letter Before Action charge is not recoverable from your debtor.

    Other pre-action correspondence will be considered separately at our standard hourly rates.

Undisputed Claims

Where the Letter of Claim goes without response, we would then look to issue court proceedings on your behalf. The costs of us doing this is as follows.

Debt

Court Fee (£) - Generally Recoverable

Russell & Co Fee (£) Plus VAT

Recoverable Fixed Costs (£)

Up to £300.00

35.00

250.00

50.00

£300.01 - £500.00

50.00

300.00

50.00

£500.01 - £1,000

70.00

350.00

70.00

£1,000.01 - £1,500

80.00

400.00

80.00

£1,500.01 - £3,000

115.00

450.00

80.00

£3,000.01 - £5,000

205.00

500.00

100.00

£5,000.01 - £10,000

455.00

550.00

100.00

£10,000.01 - £200,000

5% of claim

Hourly rates TBC

100.00

Greater than £200,000

10,000

Hourly rates TBC

100.00

Anyone wishing to proceed with a claim should note that interest and compensation may take the debt into a higher banding with a higher cost.

Once the court has served the claim, a debtor has 14 days within which to file a Defence or enter an Acknowledgement.  After the 14-day period has expired (assuming an Acknowledgment was not filed), a request can be made to the court for judgment to be entered.

Request for Judgment

Assuming there is no hearing and the matter remains undisputed, the following costs will apply to making a request for judgment:

Judgment Position

Russell & Co Fee (£) Plus VAT

Recoverable Fixed Costs (£)

Default judgment for a claim under £5,000

50

22

Default judgment for a claim over £5,000

60

30

Requesting judgment on admission of a claim under £5,000 and the Defendant's offer of payment is accepted

80

40

Requesting judgment on admission of a claim over £5,000 and the Defendant's offer of payment is accepted

110

55

Requesting judgment on admission of a claim under £5,000 and the court decides on the amount of payment

110

55

Requesting judgment on admission of a claim over £5,000 and the court decides on the amount of payment

140

70

Please note that the charges above do not include attendances at court.  Where this is necessary, you will be charged on an hourly basis.

Enforcement

If judgment is obtained but not paid then further action will be required to enforce payment. The costs involved in this will be considered separately as they will vary depending on the method of enforcement available in each case.

Dispute claims

If the claim is disputed, then it will need to move onto our hourly rates charges as we will need to investigate the defence with you and potentially deal with defended pleadings.  Our standard hourly rate is £210 plus VAT. We will provide you with our best estimate of the costs and chance of success to take the matter to Court and you will then be able to decide whether the potential success and return of the debt justifies the expense.

Contact Ruth Godfrey directly on [email protected] or Francesca Smith on [email protected]