Debt Collection in New Zealand
Debt Collection in New Zealand
New Zealand is one of the United Kingdom’s biggest trading partners. In 2020, the two-way trade between the nations amounted to a total of $6 billion. With this amount of trade, the potential for payment issues to occur has always been a risk.
Many UK companies that trade on an international scale find themselves with a foreign client who owes money. There are a lot of reasons why someone might withhold a payment. Regardless of this, if you have provided goods or services to someone, you deserve to be paid for it.
Federal Management is regarded as the UK’s leading international debt collection agency. Our team of debt recovery agents are experts at debt collection in New Zealand. By using our specialist service, you can ensure that your case will be handled in the most professional manner, regardless of the type of debt.
Collecting a Debt in New Zealand
When confronted with a debtor in another country, many business owners are often unsure of how to proceed. Many will attempt an in-house debt collection process, which involves chasing the debtor via emails and telephone calls. It is common for late payment charges to be added to an invoice, in order to prompt a debtor to pay.
In some cases, this can be effective. However, most debtors that reside in another country believe that they are out of reach of any consequences.
Debt collection in New Zealand is most successful when carried out by professional debt collectors. There are several different options for this, such as court action. However, the most cost effective and beneficial way to recover a debt internationally is to use a professional debt collection agency.
In order to achieve success, your chosen solution must have a good knowledge and understanding of New Zealand’s debt collection laws.
For example, in the UK there is a statute of limitation period of six years. This means that debt can only be enforced within that time period. In New Zealand, this rule is also six years long, but there is a high court judgment against the debtor, it can be up to 12 years.
As well as this, there are a number of cultural factors debt collectors must take into account. This is as well as New Zealand’s three official languages, which could all complicate the case.
Global Debt Collection Agency
Federal Management is often regarded as the UK’s leading international debt collection agency. Our global network of trusted debt collection partners ensures that we can recover owed money from virtually anywhere in the world.
Our partners are placed in strategic locations in some of the world’s major cities. This provides the maximum amount of coverage possible.
Are you owed money by a client in another country? Do you need help with debt collecting in New Zealand? If so, speak to Federal Management’s team of friendly debt collection experts now.
We will provide a complimentary pre-action assessment, giving you the best outlook on your own case.
Debt Collection in New Zealand – Frequently Asked Questions
How does debt collection work in NZ?
New Zealand has its own laws regarding the collection of overdue debts. A good international debt collection agency will have knowledge of these. They will take this into account during their collection processes.
How long can a debt be chased in New Zealand?
In New Zealand, there is a statute of limitation that lasts for six years. This date is taken from the last payment, which is not necessarily the same as the invoice date. If there is a district or high court judgement in place, this can be up to twelve years.
What are typical examples for debt recovery?
There are countless cases where a debt may occur. Most often, a commercial debt will happen when a business provides goods and services to its client who does not pay. Unpaid invoices and non-paying clients make up the bulk of commercial debt cases. Federal Management is the UK’s leading international and commercial debt collection agency.
What happens if you don’t pay debt NZ?
If you do not pay a debt in New Zealand, the original creditor has every right to begin a debt collection process. This may involve legal action against you or the instruction of a debt collection agency. If you have not paid a debt in New Zealand, it is best to work with the debt recovery process to reach an amicable solution for all parties.
How much does debt collection in New Zealand cost?
The cost of debt collection depends on the unique circumstances of the case in question. The best way to get a good idea of costs is by speaking with one of our friendly debt collection experts today.