Effective actions to claiming debts owed to you
Many individuals and companies, perhaps like yourself, wonder what they can do to collect debt owed to them by an acquaintance or a supplier refusing to pay. If you find yourself in this situation, here are four steps to successfully collect the debt in the most simple and effective way.
1. Analyse the nature and characteristics of the debt
It is important to identify what the origin of the debt is, as this can highly affect relevant elements, such as the prescriptive period, as well as to assess its existence. This means having valid documentation to prove that the debt is real, whether the quantity is determined or not, whether it can be liquidated, that it is past due and that it is enforceable, since in this case, the procedural legislation offers certain favourable options to expedite the claim.
2. Extrajudicial claim
Before going to court, it is advisable to try to amicably collect the debt. If you have already tried doing so and you were unsuccessful, this may not be enough unless it was officially recorded. The best way to do this is via a certified letter, known as a burofax in Spain, with a proof of delivery to the debtors address.
This step is extremely important, since a properly documented certified letter can serve to restart the prescriptive period in which the debt is claimable as per the relevant statute of limitations.
3. Determine which procedure to follow
If extrajudicially collecting the debt is still unsuccessful, we would then need to file a lawsuit, choosing between one of the following legal procedures:
a) Order for payment procedure
This option makes obtaining the writ of execution, a title which allows the court to seize the debtors accounts and properties to collect the debt, easier and quicker. It is only applicable for cases in which the debt was accredited with an invoice, delivery note or a similar document, and only if the debt has the valid documentation mentioned earlier.
Through this procedure, the court will require the debtor to issue payment within twenty days. If the debtor does not pay within said period or does not appear directly before the court, we would automatically obtain the writ of execution against them.
On the other hand, if within twenty days the debtor files a notice of opposition, we must choose option b), to file a lawsuit for an ordinary or a verbal trial.
b) Lawsuit for an ordinary or a verbal trial
If the debt exceeds 6,000 euros we would need to follow an ordinary trial, however if it is less, we would be eligible for a verbal trial. The verbal trial is advantageous as the law requires shorter response times, so the overall debt collection would be much quicker.
No matter which trial under option b), we would first need to prove the existence of the debt and the obligation the debtor has to pay in order to obtain the writ of execution against the debtor.
4. Final procedures for payment: the writ of execution
As mentioned above, the writ of execution forces the debtor to pay the debt by seizing his assets. This final step is done directly in court, issuing the seizure order on the debtor's bank accounts, real estate and sources of income.
In addition, you would also have the right to claim legal and judicial interests, and the costs of the respective procedures.
Why us?
As can be understood by the above, there are many procedural requirements to ensure the prescriptive period does not expire, to ensure proper filing of payment orders and to choose the most appropriate procedure for the claim. Some individuals and companies try to claim debts on their own, without professional support, resulting in a large number of debts failing to be collected.
If you want to ensure to duly collect the debts owed to you, send us a WhatsApp or call us at +34 610 632 963 or write to us at contact@nietojones.com.
