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Debt collection

A person who owes the bill or debt is the debtor. Debtors may fail to pay for various reasons: lack of financial planning or overcommitment on their part. Due to an unforeseen eventuality such as the loss f a job or health problems. Dispute or disagreement over the debt or what is being billed for or even dishonesty on the part of either the creditor or the debtor. The debtor may be either a person or an entity such as a company. Collection of debts from individual people is subject to much more restrictive rules than enforcement against a business.

Debt collection or debt recovery abroad is not as easy as it might seem. A debt collection agency is a business that pursues payments of debts owed by individuals or businesses. Most collection agencies operate as agents of creditors and collect debts for a fee or percentage of the total amount owed. There are also many types of collection agencies. First-party agencies are often subsidiaries of the original company the debt is owed to.

Third-party agencies are separate companies contracted by a company to collect debts on their behalf for a fee. Debt buyers purchase the debt at a percentage of its value, then attempt to collect it. Each country has its own rules and regulations regarding them. It is important to know al rules, regulations and laws for each country. TCM Netherlands is a specialist in international debt collection and has all the connections to make the right decisions in countries abroad.

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