F.A.Q

Common Questions Frequently Asked by our Clients

If you have a questions, its more likely than not answered somewhere on this page. Please take a moment and look through this section.

If you have anything else that you would like to know, please feel free to give us a call.

Q. Who is Debt Collection Queensland?

please read below

Q. Why use a debt collector?

please read below

Q. We have never used Professional Debt Collection, can I use DCQ?

please read below

Q. When should I refer the debt to you?

please read below

Q. What is a Letter of Demand?

please read below

Q. What is a Phone Demand?

please read below

Q. How do I get the ball rolling to get my money back?

please read below

Q. What is a Credit Application?

please read below

Q. What is a Directors Guarantee?

please read below

Q. What is a Personal Guarantee?

please read below

Q. Why Debt Collection Queensland instead of a lawyer/solicitor?

please read below

Q. What is a Minor Civil Dispute?

please read below

Q. What if we dont have a signed written contract with our client?

please read below

Q. How will the Debtors Pay?

please read below

Q. If I use DCQ, am I locked into a contract?

please read below

Q. How long before you will get my money back?

please read below

Q. My client has disappeared – can you find them?

please read below

Q. How much is it going to cost me?

please read below

Q. Im sceptical – Why can you get it back and not us?

please read below

Q. What if you cant get it back?

please read below

Q. What if the debtor disputes the debt?

please read below

Q. What kind of files/matters/cases do you handle?

please read below

Q. The ACCC & ASIC Debt Collection Guidelines

please read below

Q. What is your process and how do you work?

please read below

Q. What is the SMART Client Facility & can I get access?

please read below

WHO IS DEBT COLLECTION QUEENSLAND?

Debt Collection Queensland is a Specialist Debt Recovery Firm. We are a Debt Collection Agent and we act for Small to Medium sized businesses through to Multinational Corporations. We are the Queensland division of Australia’s premier Debt Collection Firm called “The Debt Collection Group”.

We Collect Debt for National & International Clients. We work on a no collection no fee basis and do not expect our clients to pay if we cannot recover their money.

WHY USE A DEBT COLLECTOR?

Outsourcing your debt to Debt Collection Queensland has many benefits. It allows your business to receive cash sooner, focus on core functions and reduce operating costs. Bad debt only gets worse over time. DCQ knows how to get your money back and because we typically work on a no win no fee basis, it will cost you nothing up front to get your money back. It also frees up your staff and accounts department to focus on other jobs.

WE HAVE NEVER USED PROFESSIONAL DEBT COLLECTION, CAN WE USE DCQ?

You can and you should. Its a myth that only big companies use Professional Debt Collectors. Thousands of small businesses, Tradesmen and Sole Traders refer their debts to us on a daily basis. Sure it is true that big companies also use us on a regular and ongoing basis, but so do small business.

There is a very good reason why big businesses use us…. they like to get paid and they know that we can facilitate that. We collect and recover much more effectively than in-house accounts teams because debt collection is what we do, its all that we do.

As long as the debt is due and payable, we are happy to recover it for you.

WHEN IS THE RIGHT TIME TO REFER A DEBT TO DCQ?

The truth is, the earlier that you refer the account to us for collection, the more likely we are to recover it. Bad Debt only gets worse with time. Take action now and get your money back. Contacting us is the first step.

HOW DO I GET THE BALL ROLLING TO GET OUR MONEY BACK?

To start the collection process, you have 2 options. If you have a single debt, you can lodge it online or you can complete and return our Debt Submission Sheet. If you have ongoing needs you can do the same, or alternatively, you will be given access to lodge, submit and track your debts through our SMART Client Facility. Please contact us if you are unsure on where to go from here, or need further information.

WHAT IF WE DONT HAVE A SIGNED WRITTEN CONTRACT WITH OUR CLIENT?

Contracts can be verbal or in writing. If you don’t have a written contract with your client, don’t worry we can still help. Simply give us a call to find out how.

IF WE USE DCQ, ARE WE LOCKED INTO ANY CONTRACT?

No, absolutely not. Use us when you need to. There are no lock in contracts and you simply refer your debts to us as and when you need our help. By appointing us as your collector, you have the piece of mind that you have the systems in place should your clients default.

MY CLIENT HAS DISAPPEARED – CAN YOU FIND THEM?

Being Professional Debt Collectors, we have access to various databases, resources and search tools typically not available to the general public. As long as you give us a “lead” or something to start with, we should be able to find them… our jobs depend on it!

IM SCEPTICAL – WHY CAN YOU GET IT BACK AND NOT US?

The answer is simple. Proper Debt Collection requires specific skills backed up by reputation, ability, determination and resources. In short… debt collection is what we do… its all that we do. We like to think we are pretty good at it and hundreds of businesses will attest to our skills. You would be surprised how often we hear “I have sent them letters and left them many voice messages… why were you able to get a response and get my money back?”

Our income depends on us doing a good job and recovering your money. After all, if we don’t collect, we don’t get paid! We are highly motivated to get paid.

WHAT IF YOU CAN GET MY MONEY BACK?

In the event that we are unable to recover your money through our traditional debt collection methods, we will outline the next step in the process. This typically involves litigation and taking the matter through the court system. If we cant get it back, you are no worse off that before we started our recovery processes.

At the very least, you will be able to satisfy yourself that the debt is unrecoverable and that you have done everything possible to try and get the money back. You wont ever have to write a debt off wondering “what if I i just had one last attempt“.

If we cant get you a result, you certainly wont be able to get a result – we are that confident in our systems & processes.

WHAT IF THE DEBTOR DISPUTES THE DEBT?

Before we agree to act for you, you agree that the Debt is due and payable and that it has legally been incurred. We cannot and will not pursue someone who does not legally owe you the money. We are not in the business of forcing or coercing innocent people / businesses to pay money that is not due. If you tell us the debt is due and owing, we will pursue it to the full extent of the law.

That being said, one of the most common excuses (quite often even for legitimately incurred debts where there is a written agreement / contract) that we hear is “I dont owe the money“. Don’t worry, we have heard all the excuses in the book and our collectors know how to deal with them and get around the various issues that may arise.

If you tell us the debt is due and owing, we will pursue it to the full extent of the law. If the debtor disputes that they owe you the money, then they will have no problem in telling us why and putting it in writing. We are expert negotiators and can pick a lie a mile away! If they dispute it, then they will have no problem telling their side of the story when and if it gets to crunch time before a Judge in the Court Room.

WHAT KIND OF FILES / MATTERS / CASES DO YOU HANDLE?

If the debt is due and payable, we will take it on. We specialise in commercial debt recovery, however we do have many clients & files that fall outside that definition. Typically it is not viable for you to refer debts smaller than $250.

WHAT IS YOUR PROCESSES AND HOW DO YOU WORK?

Our processes typically takes 21 days – roughly 3-4 weeks. During this time, we send various letters and contact the debtor through various channels to extract payment. If we cant get your money back within this time, we will recommend the next best course of action.

WHAT IS THE SMART CLIENT FACILITY & CAN I GET ACCESS?

The DCQ SMART Client Facility is our online system for clients with ongoing collection needs. If you submit 3 or more debts with a cumulative total of more than $5,000 on a monthly basis, you automatically get free access to the facility. Its the easy way to streamline you own in-house collections and to improve your cashflow. Our regular clients realise that DCQ is as is as important to their business as their sales and marketing teams.

WHAT IS A LETTER OF DEMAND?

A Letter of Demand is a formal letter sent to the debtor demanding payment. These demands may be used as evidence if further court proceedings become necessary.

Our Letters of Demand are carefully drafted legal letters that demands payment from the Debtor. It serves a few purposes including:-

• Letting the debtor know that you have retained specialist Debt Collectors to recovery your money; and
• Warning and advising the debtor that if they fail to pay within a certain time frame or make a suitable arrangement to pay, that further legal action may follow;
• Creating a paper trail which  initiates a non threatening communication channel.

Our Demands are all sent on Debt Collection Queensland letterhead. The visual impact of our letters, coupled with our name, expertise and collection processes means that we are able to recover debts fast, effective and stress free.

How would you feel if you got a letter from “Debt Collection Queensland”?

Our clients have access to a complete record of all the Demands sent by DCQ. Our secure Smart Client online centre keeps our clients informed and up to date at all times. No more wondering ‘what is happening with this matter?’ We will also keep you updated by way of email updates and regular phone contacts.

WHAT IS A PHONE DEMAND?

A Phone Demand is where one of our trained professional debt collectors calles the Debtor. This usually happens after a Letter of Demand has been sent. The purpose of the phone call is to make sure that the Debtor got the letter of demand, and also to see when they will be making payment. Our collectors are trained to “get around” the everyday excuses that debtors give us. We have heard it all before and there are no excuse that we haven’t heard.

All our staff are professionally trained and monitored. Unlike some of our competitors, we do not use offshore call centers. We are based in the Brisbane CBD fringe suburb of Toowong.

Our clients have access to a complete record of all the phone demands made. Complete and accurate records are kept about each and every phone conversation. Our secure Smart Client online centre keeps our clients informed and up to date at all times. No more wondering, ‘what is happening with this matter?’

HOW TO GET YOUR MONEY BACK?

To recovery your over due invoices, simply contact us. It is our policy to action new matters the same day that they are received by us.

By now you have probably already given the debtor several weeks / months to pay the debt, threatening them that you will take them to court if the account “is not paid within 7 days”. Unfortunately, the debtor has called your bluff and that is why you are here. Let DCQ deal with them.

Appointing a professional debt collector to chase your money, sends a clear signal that you will not give up and that you are serious about collecting.

To start the recovery process, please contact us today. The longer you wait, the less likely it is that you will recover. Remember – most debtors at this stage are smart and cunning.

WHAT IS A CREDIT APPLICATION?

If you sell “on account” to customers, then it is likely that you get them to complete and fill in a Credit Application at the first point of contact. If drafted correctly, a Credit Application can help you (and us) when and if a client defaults on a payment. A properly drafted Credit Application will contain a Personal Guarantee, Charging Clause and a limited Power of Attorney Clause.

As always, prevention is better than Recovery. Before you sell on account to a new customer, you should do credit checks, trade checks and ensure that you have a binding agreement that can be enforced if needed.

We have helped many of our clients to implement an effective Credit Policy. Having an effective credit policy means that you will have fewer delinquent clients and that you will be able to effectively enforce any defaults. Do you really know who you are dealing with?

WHAT IS A DIRECTORS GUARANTEE?

Often when companies sell on Credit, it will be a requirement that the Directors of the client company give a personal guarantee.

This guarantee means that the Director can be held personally liable for the debts of the company.

A properly drafted Directors Guarantee can enable a company to ask the Director to pay the debt even before a demand is made on the company.  It is standard practice in the current environment not to sell on account without having a guarantee.

WHY DEBT COLLECTION QUEENSLAND INSTEAD OF A LAYWER?

Dont get us wrong, we have very strong existing relationships with some of Australia’s leading litigation law firms. However, we believe that prior to the expensive and drawn out exercise of going to court and litigating for your money, every effort should be made to get your funds back quickly, cheaply and effectively. Law firms simply do not operate this way. Just like we are needed, so are lawyers – if and when the time arises.

WHAT IS A MINOR CIVIL DISPUTE?

Relevantly, they are debt disputes. This is typically a claim to recover a debt or a liquidated amount of money. i.e. an invoice for unpaid goods.

HOW WILL THE DEBTORS PAY?

We demand payment into the Debt Collection Queensland Trust Account. This way, we know when the Debtor has made payment, and we have a complete record of the entire recovery process.

Our Trust Account is a heavily regulated statutory account that is monitored and the subject of regular audits by the Office of Fair Trading. Strict laws apply to the operation of a Statutory Trust Account –  including strong reporting requirements. By demanding payment into our Trust Account, it speeds up the recovery process as we can track exactly who has paid, when and how. We also offer various payment methods making it easy for the debtors to pay.

We make it as easy as possible for the debtors to pay. They can pay by

• Internet Transfer
• BPAY
• Credit Cards
• Phone Payments
• Cheque Payments

HOW LONG BEFORE I GET MY MONEY BACK?

Typical recovery time varies between 7-21 days.

Recovery timeframe depends on various factors including how much contact information you can give us about the debtor. Of course if we need to track down and find the debtor first, it will take a little while longer to get the cash back into your business.

What we can guarantee is that if the debtors are going to pay, they will respond faster to us that to you.

HOW HARD IS IT TO FIND A MISSING DEBTOR?

We have access to various sources to track the debtor down. By law, we are permitted to “find, or repossess, for a person any goods or chattels that the person is entitled to repossess under an agreement”

As you can appreciate, if a debtor needs to be located, it will take longer to recover your money. Some of the searches that we may need to do, may have a small fee associated with them. We will never incur these search fees without consulting with you.

HOW MUCH IS IT GOING TO COST ME?

Please check out our Fees page.

THE ACCC & ASIC DEBT COLLECTION GUIDELINES

All Commercial Agents (Debt Collectors) are governed by the Australian Competition and Consumer Commission’s (the ACCC) Debt Collection guidelines. The guide was originally published in ’05 and reflects the ACCC and the Australian Securities and Investment Commission’s (ASIC) view of how relevant provisions of the Trade Practices Act 1974 and the ASIC Act 2001 apply to Debt Collection procedures and processes.

At Debt Collection Queensland, our staff are constantly trained and monitored to comply with these strict guidelines.

View a copy of the Guideline by clicking here.

The above publication is a reprint of the guide jointly produced by the Australian Competition and Consumer Commission and the Australian Securities and Investments Commission. © Australian Securities & Investments Commission and has been reproduced with their permission.