Having drawn from the expertise of the Atradius Collections' local offices, the International Debt Collections Handbook explains the different stages, regulations and procedures for Canada.
In the amicable phase, we follow a collection process that is professional at all times with the objective to retain relationships between client and debtor whenever possible. Our staff of collection professionals carry out the first collection tier in-house. They pursue debtors verbally and in writing within the bounds of federal and state laws.
Atradius Collections maintains direct contact with all debtors and clients whenever possible. However, if required, we have LDC contacts throughout Canada to assist in our clients’ collection needs. At the present time, we cannot offer a field service for visiting debtors in Canada.
The collection of interest is permissible under Canadian law. If the terms and conditions of the contractual agreement between the client and debtor contain a clause that permits the collection of interest costs, then it may be added to the overall debt. Canada’s Criminal Code makes it a crime to set an interest rate above 60%.
The addition of collection costs (success fees) is not permissible under Canadian law. However, if the terms and conditions of the contractual agreement between the client and debtor contain a clause that permits the collection of costs, then it may be added to the overall debt.
The Debt Collections Handbook presents a snapshot of Canada's local economic situation and covers the following topics:
- Legal procedures
- Insolvency Procedures
- Timeframe and outcome
To read more about steps and procedures undertaken in the field of debt collection: