New have rules have come into effect when chasing individuals , including sole traders for outstanding debts . The new rules do not apply when the debtors are companies or partnerships.
Gone are the days , when a simple "7 day " letter can be sent .Instead detailed information and documents must be provided , outlining how the debt arose and why previous proposals for payment were unacceptable .
The debtor has 30 days to respond and can claim another 30 days if they wish to seek legal advice . The creditor then has to give a further 14 days notice before proceedings are issued .
Creditors therefore need to act quickly when debts become overdue and ensure they chase promptly.
if you need any further assistance please call John Buckle on 01922 797 598