The More You Know….
Most of us have debt of some kind, whether a mortgage, credit card or student loan. But what happens when someone owes you money? That person is your debtor.
You might instruct a solicitor to obtain a decree (court judgment) ordering your debtor to pay you. How do you enforce the court order? The most effective option will depend on the debtor’s ability to pay. So, the more you know about the debtor, the better.
Some basic checks on information you already hold or which is publicly available will help assess whether you will get paid and the most effective option.
- Current address – if you don’t know this, for a small fee, the Land Register will tell you whether the debtor owns their home or business premises. These are valuable assets which debtors usually want to avoid losing. If they own other property which they rent out, you could arrest rental payments due to them. If the debtor is a tenant, they may wish to avoid eviction.
- Contact details – sometimes an email or telephone call will secure an agreed payment plan.
- Banking details – if you have the debtor’s bank details from previous dealings, you could arrest funds in their bank account.
- Employment or business type – if you know who they work for, you could arrest their wages. If the debtor is self-employed, or a company, check if they are still trading, and whether they have other stock or other outlets, to judge if this is a business they’d want to save. Social media often contains such information.
- Financial health:
- The Register of Insolvencies will tell you if an individual debtor (i.e. a person) has already been bankrupted or signed a trust deed.
- Companies House holds information about a company including its latest accounts and whether it is active or, more problematically, has gone into liquidation or administration.
Note: This material is for information purposes only and does not constitute any form of advice or recommendation by us. You should not rely upon it in making any decisions or taking or refraining from taking any action. If you would like us to advise you on any of the matters covered in this material, please contact Paul Neilly: email paul@mitchells-roberton.co.uk
Mitchells Roberton Solicitors
George House
36 North Hanover St
0141 552 3422
Mitchells-roberton.co.uk
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