How to collect a debt? The 2020 Guide

Many companies in France are forced to file for bankruptcy, following claims not honored by bad payers. If you have to deal with bad faith debtors who refuse to pay the amount owed to you, do not wait and take the situation in hand! You can be accompanied by a third party. Here are some tips for collecting a debt under the best possible conditions, and for dealing with dishonest debtors.


The characteristics of a claim.

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In order for you to be able to set up a recovery procedure and collect your claim in due form, it must meet three characteristics:

  • It must be certain: as a creditor, you must have in your possession documents proving that your debtor was informed of the amount due (a contract), an invoice, as well as reminders claiming the amount pending collection. If you also have documents certifying that the service has been performed (email exchanges, etc.), this may allow you to strengthen your procedure.
  • It must be liquid: you must claim a sum of money, and be able to specify the exact amount.
  • It must be due. In other words, the deadline for payment of your invoice must be exceeded.

If your claim meets these three characteristics, then you are entitled to claim your due, whatever the amount.


Favor amicable recovery

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To recover a receivable in due form, you must follow a rigorous procedure, here are the steps.

First, you need to build a file with all the information that can prove your good faith:

  • Signed quote
  • Bill
  • Contract
  • Documents proving the performance of the service: email exchanges, recovery letters, etc.

You must then send a letter to your debtor, by registered mail with an acknowledgment of receipt; this letter of formal notice is one of the elements that may be asked of you if you need to take the next step, namely the forced recovery procedure (also called judicial recovery).


Use the third party

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This amicable recovery procedure involves several inconveniences:

Collecting a receivable constitutes a set of very time-consuming steps, which prevent you from concentrating on your core business

The steps to raise arrears are sometimes very unpleasant and conflicting, some bad faith debtors do not hesitate to question the skills of their creditor to excuse a settlement not made. The conflicts generated by this situation are frequent.

Obviously, these steps are expensive and can jeopardize the health of a business.



This is why it may be wiser to entrust your payment settlement procedure to a third party to collect the debt. Collection firms allow you to set up amicable recovery procedures on your behalf. Note that some of them, like the Rubypayeur law firm, only invoice the result by asking creditors a commission on the amount received.

5 Ways to Manage Your Finances with a Credit Card

Property management and financial planning are not only for the upper class, but also the middle class like most of us. We, at GoBear, believe that various financial services and products that can be compared on our website are practical tools. And, if used wisely, can help you increase the coffers of money. From insurance to loans to credit cards, everything can be an inseparable part of your financial plan and improve your personal financial management.

In this article, we will discuss how to use credit card facilities to help you manage your personal finances.

Paying Repeated Expenditures

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Have you made a monthly or annual budget plan? If not, this is a good time to start because the budget is a basic part of personal financial management. By planning the amount of income for old age savings and daily expenses, you can determine the amount of luxury that is affordable for you, such as a vacation or a new car, or the amount that should be set aside for emergencies.

Using a credit card to pay for recurring expenses shows the amount of your monthly expenses. Examples of recurring expenses are a large portion of utility bills, daily bills, even insurance premiums.

Launch a Large Purchase with an Interest-Free Installment Plan

Interest-Free Installment Plan

When managing personal finances, monitoring your monthly cash flow is very important. The goal is to ensure that you can handle unexpected expenses or other sudden events that require funds. These expenses may make it more difficult for you to buy expensive items such as air conditioners, refrigerators, or trips to Europe.

So, you should find out if expensive items you want to buy can be paid with interest-free installments for 12 months with a credit card. You can reduce the prepayment by about 8.3% from the purchase price and pay it off for the next year (as a recurring expense for a year). But, remember that the full purchase price must be within your credit limit. You also should choose installments that can be paid off.

Bring Less Cash and Shop Safer

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With various credit card technologies such as Visa payWave and electronic debit payment systems, making electronic payments is much easier. We don’t need to carry a lot of money anywhere now. In addition, you can reduce stress levels because you don’t have to worry about carrying a lot of money. Credit card transactions are safer, more traceable. And, if there is loss, theft or fraud, you are protected from unauthorized use. You also don’t need to worry about fake bills. Some banks help connect your savings account with a credit card. So, you can even use an ATM card.

Track your expenses

loan expenses

Managing personal finances requires you to track expenses and amounts. If you pay by credit card, you can use a credit statement to see the amount of your expenses per month. In addition, you can know the items you buy on all bills and track expenses over time. This helps you see whether spending on certain areas increases or not. So, you can control your shopping habits better.

Get a Gift from Everyday Expense and Expensive Products

Get a Gift from Everyday Expense and Expensive Products

Many credit cards provide cashback and / or gift points to make you use the card more often. Why not just take advantage of this offer? In fact, you can use a credit card for daily expenses. If you have to pay for something expensive (for example a wedding reception, company affairs, a family vacation abroad, or a down payment for a car), why not just use your card? Pay fully when due, and you will get a lot of points (or cashback) for free!

These are just a few wise ways to use credit cards to improve your personal financial management and make use of your money. As long as you are careful in using money for your needs, credit cards provide many benefits. But, different banks and institutions have different merchant prizes and offers. So, it helps you look for a credit card that gives you the best value.