Debt collection agency

Debt collection agencies provide assistance to parties trying to recover money that is owed to them.  They work on a third party basis representing the debt collecting party.  These debt collection agencies have a professional team that helps to negotiate the terms of the payment of the overdue debt.

These professionals are trained and experienced.  Each of them operates within the constraints of the law governing the collection of debt from consumers.  These laws are enacted by each province.  There is no national Canadian law overseeing the collection of money by debt collection agency.

These laws include when phone calls can be made to the debtor.  Prior to the enactment of these laws, there was no limit to when a debt collection agency could call.  Today there is.  A violation of these laws will result in penalties against the debt collection agency.  Debt collection agencies in Canada will not violate those laws.  These laws also include how a debt collection agency Canada can leave a message.

Usually there will be no charge by a debt collection agency unless there is a recovery.  If there is no recovery, there will be no fee.

If necessary, the debt collection agency will use an attorney to file a lawsuit against a debtor.  This is the last step and is rarely taken.  Most agencies of debt collection are able to work out a program with the debtor to pay at least part of the amount owed.