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In this case study, we were referred a full file for collection for approximately $30k in July 2012. Our client had issued a Statement of Claim at this stage but had not entered Judgment.
We sought Default Judgment shortly after receiving the file on a contingent basis.
Numerous contact attempts were made with contact established with the debtor in 2012 following a SMS being sent. The debtor entered into a repayment arrangement but failed to maintain this agreement. Throughout our dealings with the debtor payment was only forthcoming after sustained contact. Sporadic payments were received in this way until June 2013 when the debtor started to make consistent payments without follow-up.
This agreement was maintained until August 2014 when payments became spasmodic again. When contact was established with the debtor it was determined that there had been a death in the family. Owing to this a moratorium period was granted with the debtor resuming payments in January 2015.
Payments to the debt ceased again with continual follow up made by our office. When eventually contacted the debtor claimed that there would be insufficient funds from the deceased Estate to finalise the debt but had a family member who was able to assist in raising a reduced settlement. A search of Probate indicated that the debtor was the executor of the Estate and when questioned further about this the debtor became evasive and refused to answer direct questions about the status of the Estate. The debtor subsequently continued to claim that a lump sum settlement would be forthcoming however this did not eventuate.
With no current arrangement for payment of the debt a Garnishee Order for Debts was issued which recovered the balance in full including interest and costs.
In the course of our handling of the account 70+ outward bound contacts were made or attempted, 2 incoming calls were received from the debtor and a total of 14 hours were spent recovering the debt.