An Electrical Service Company operating throughout the Newcastle/Hunter Region recently recovered a $20,000 outstanding debt through EC Credit Control. The existing EC client had Terms of Trade in place and was able to claim all their Debt Recovery costs back from the debtor, who also happened to be based in Newcastle.
Our client was delighted with this result as he thought he was never going to get paid. The client said â€œI had been chasing this debtor for months and I decided to load the debt with EC Credit Control as if there is no collection – then no commission or other costs are payable. I had nothing to loseâ€
As part of our service we also reviewed our clients Terms of Trade and identified some clauses that required inclusion and other clauses that need updating to be current and legally correct.
EC Credit Control also registered his regular and large clients based through Newcastle and the Hunter on the PPSA. This ensures that in a liquidation event the client is a â€œsecured creditorâ€ and also protected from â€œpreferential payment claw backâ€.
â€œI can now go about doing my business knowing that my cash flow is protected as best as it can be by the documentation EC Credit control has put in place for meâ€.