In Australia the debt collection standards are strict and come from the ACCC (Australian Competition and Consumer Commission) as well as the ASIC (Australian Securities and Investments Commission. These standards have been implemented in order to protect individuals as well as companies.
All types of debt collection agencies such as in house collections for government and businesses, collection agencies, buy out services for debt and solicitors. Must all adhere and comply with the standards set out by the ASIC and ACCC.
All debtors are bound legally in paying off legitimate debts, and should never wilfully avoid paying off on agreed obligations. The Federal bodies in Government both suggest that any company or business should ask their creditors for assistance if they reach a stage that they are unable to keep up with their set payments.
If a creditor has already begun on a process for debt collection it is then advisable to seek the assistance from a solicitor or financial counsellor. A qualified advisor is able to assist in debt negotiations. The following rules and regulations should be followed for debt collections:
-The debtor must be provided with all the relevant information on their account
-A payment must be requested
-An outline of the consequences must be stated due to non-payment this must include restrictions on types of services and legal options
-Arrangements must be made for repayments
-A presentation must be given on a payment proposal or a settlement figure
-A review must be made on the existing arrangements
No debt collection agency may employ tactics that will make an individual or business feel embarrassment, demoralization or intimidation. At all times a professional manner will be upheld from in regards to debt collection methods.
Melbourne debt collections uses effective yet professional methods on getting debtors to pay off their debts.