When it comes to collecting a debt, there are many different avenues and methods available that can help you to retrieve any losses but sometimes these can prove unsuccessful.
What underpins all your attempts is whether your debtor has the financial ability to repay the debt and this is something that you are likely to be unsure of.
However, you do have an option available to you that will help to determine the financial status of your debtor.
What is a pre-sue report? Commonly referred to as a Status Enquiry
A pre-sue report will identify whether the individual or business can meet repayments. The report will provide a summary of their financial position while also making it possible for you to determine whether court action is required and if it is likely to be successful.
For individuals, a pre-sue report will provide the full name and date of birth along with their current residential address and any previous addresses. Understanding whether they are employed will help you to determine whether they have the scope to repay the debt and so every effort is made to identify their employment status however, we will always work with the Data Protection and Human Rights Act.
Land registry searches will be included in the report detailing any information regarding property that they may own while all details of any CCJs against them will be included. The report will state the date, court and case number of those Judgements
The credit history of the debtor can be found in the report along with a breakdown of all applications which includes active and closed credit and current accounts, while bankruptcy and insolvency searches form an important part of the report.
If the debtor is a business, then any trading addresses and details of all business interests or partnerships will be provided as well as the location of properties and details of any sales. The debtor may also have used other names or aliases and so, these can be found in the report along with all mobile and telephone numbers.
Every report is different and often tailored to the needs of each client.
When should a pre-sue report be used?
A pre-sue report is a crucial step before taking legal action against an individual or a company that owes you money. Understanding whether court action will be effective is vital because it will ensure that you do not waste time and money with an unsuccessful claim.