Debt Recovery Process in UAE e.g. Dubai, Abu Dhabi, Sharjah and throughout UAE, is a debt recovery process like most developed parts of the world. Debt can be in the form of credit from banks, loans from banks from businesses, or personal loans as well. When giving loans, always keep in mind to put everything in writing. Having a written agreement is proof of lent money with any conditions set and will save from any confusion later. The regulations in the UAE like developed countries where there is no tolerance if you are guilty.
In case of commercial debt, some of the things you can do are contracting your debtor and inquiring why the invoices have not been paid. Send reminders frequently to them and in your reminders state a specific period of payment or a specific number of days in which they must pay. If after continuous reminders and warnings the debt is not cleared in the time given, then it is best to hire a debt recovery agency or a Debt collecting agency. Debt Recovery experts or the lawyers, from well-known Law Firms or Debt Collection Agencies, have experience and knowledge of laws and regulations of the UAE. Debt recovery experts can put pressure on the debtor. These expert collectors or sometimes lawyers can also assist through the judicial phase and before that if they are also lawyers as well as Debt Collectors. A lot of times matters can be solved through negotiation and discussions. This saves a long court battle and a lot of money. Each case is unique and for each, tailor-made advice is needed. Fastest debt recovery services require your extensive knowledge of the market and tactics to deal with it. The kind of pressure can be put by the professional, on the debtor which cannot be put by Creditor individually. Debt collection agencies or Law Firms help in every other service such as unpaid cheques, unpaid salaries, unpaid loans, unpaid service benefits, and many more.
Debt recovery Dubai can only be done with experienced lawyers or staff who have the required resources. The lawyers in Dubai have extensive experience in debt collection and their practices include arbitration, amicable settlements, follow-ups, presenting the supporting documents, and more. They work with the principle of “Win-Win and full devotion” to give positive results.
Its is always challenging to collect the debt and it is not getting any easier with time. It is stressful, time-consuming, and brainstorming to recover the debt. If you know what to look for and the right tactics to respond with if your debtor does not pay on time, then it need not be so burdensome. Debt can be in few forms e.g. one in the form of a written contract or implied through extrinsic evidence, meaning it may be or may not be in the form of a written agreement). Debt Collection Experts can trace people, ask for the recovery but the chances of recovery of verbal agreement or deals are nothing in debt collection or even in Court Case.
In the case of invoices and security checks, it is always advisable for businesses to put everything in writing with all the terms and conditions and get it signed from their customers. Issue invoices with all the details of the nature of work, its cost, how to pay, and in what time limit. When pursuing a debt, it is common practice to add a claim for interest. According to the Shariah law of UAE, interest can only be charged on commercial loans, and that too per the rate mentioned in the contract. The first step in payment default is usually followed by a phone call, reminding, and requesting the requirements of payment to be fulfilled in the given time frame. If no payment is made the frequency of the calls usually increases and legal notice is served to demand to clear the due payment in a given time. If no headway is made the process can then proceed to file a case with the police authorities against the debtor. Businesses often consult debt recovery Dubai agencies or debt collection lawyers to extract their money. They have strategies and techniques to deal with debtors. Some of the considerations in them are amicable negotiations, solvency status, and legal proceedings. Amicable settlements between the two parties can often lead to successful debt recovery and can save legal costs.