Majority of our debt recovery instructions come from businesses across numerous sectors. With several years’ experience and expertise in litigation both in and out of court, our debt recovery legal service is relied upon from many businesses in Manchester.
We appreciate that you want a cost-effective way for debt recovery, so we endeavour to be as transparent as possible upfront.
We offer a fixed fee so that from the beginning you know what the fees will be for your transaction.
Undisputed Debt Recovery Charges
Cost of the Letter before action depends on the amount of debt:
- Debt of £0-£100
£15 + VAT
- Debt of £1000.01 – £4,999.99
£25 + VAT
- Debt of £5,000 +
£50 + VAT
Please note: Letter before action cannot be recovered from your debtor.
Debt Recovery Fees – Telephone Chasers
Unless instructed otherwise, on expiry of the letter before action, if a satisfactory response is not received from the debtor, we will routinely chase the debtor for payment via the telephone.
All telephone calls and updates to clients are charged at our hourly rates. Average hourly rate is £210 plus VAT.
If JMR Solicitors need to commence Court Proceedings against your debtor on your behalf, then the costs involved are as follows. Once again, the cost is dependant on the amount of debt outstanding.
|Debt Amount||Legal Costs + VAT||Issues Issue Fees||Fixed Costs|
|Debt up to £300||£250 – £350||£35||£50|
|Debt between £300.01 and £500||£250 – £350||£50.00||£50|
|Debt between £500.01 and £1000||£250 – £350||£70.00||£70|
|Debt between £1000.01 and £1500||£250 – £350||£80.00||£80|
|Debt between £1500.01 and £3000||£250 – £350||£115.00||£80|
|Debt between 3000.01 and £5000||£250 – £350||£205.00||£80|
|Debt between £5000.01 and £15000||£250 – £350||£455.00||£100.00|
|Debt between £15,000.01 and £50,000||£250 – £350||5% of the value the claim||£100.00|
|Debt between £50,000.01 and £100,000||£250 – £350||5% of the value the claim||£100.00|
|Debt between £100,000.01 and £150,000||£250 – £350||5% of the value the claim||£100.00|
|Debt between £150,000.01 and £200,000||£250 – £350||5% of the value the claim||£100.00|
|Debt between £200,000.01 and £250,000||£250 – £350||£10,000||£100.00|
|Debt between £250,000.01 and £300,000||£250 – £350||£10,000||£100.00|
|Debt of £300,000 +||To be agreed with us|
Cost for Judgment in Default (where the defendant has not filed an Acknowledgment of Service or a Defence)
|Debt Amount||Default of Acknowledgement of Service Charges||Fixed Costs||Default of Defence Charges||Fixed Costs Recoverable*|
|£0 – £5000||£50 + VAT||£22||£25|
|Over £5000||£50 + VAT||£30||£30|
Disputed Debt Recovery (Claims over £10,000)
If through the debt recovery process, the matter becomes disputed or enforcement action is compulsory (where Judgment has been found but the amount remains unpaid), we will discuss the difference in fees with you and agree how to proceed from there.
Upon a case being defended we will advise as to the merits of that defence and provide a full breakdown of likely costs of continuing the action.
As an indication, the average hourly rate of fee earners in the Commercial Litigation and the Dispute Resolution Team is £210 per hour plus VAT.
Disputed Small Claims matters (matters less than £10,000)
This Firm does however offer a Fixed Fee for the conclusion of small claims matters (whether it be by way of early settlement or determination, Court Judgement or Order or discontinuance).
- Claims up to £5,000 – Fixed Fee £2,500 plus VAT and disbursements *
- Claims £5,000 to £10,000 – Fixed Fee £3,500 plus VAT and disbursements *
*Court fee as set out above and barrister fees for attendance at a final hearing (dependent on barrister seniority) usually £375 – £550 plus VAT for a small claim.
Where a matter is disputed and the matter is listed for a hearing, an additional hearing fee applies:
Small Claim Track where the amount claimed is:
- Claims up to £300 £25
- Claims between £300.01 and £500 £55
- Claims between £500.01 and £1,000 £80
- Claims between £1,000.01 and £1,500 £115
- Claims between £1,500.01 and £3,000 £170
- Claims more than £3,000 £335
- Fast track claims (claims over £10,000) £545
- Multi track claim (claims over £25,000) £1,090
JMR Solicitors can commence insolvency proceedings against your debtor on your behalf. Here are some fees for you to consider:
|Statutory Demand||£275 + VAT||Process Servers Fee (circa £60 plus VAT depending on location)|
|Bankruptcy Petition (Individual)||£675 + VAT||Issue Fee – £280.00|
Official Receivers Deposit – £990
|Winding Up Petition (Corporate)||£850+ VAT||Issue Fee – £280.00|
O/R Deposit – £1,600.00
Petition Advert – £181.20 (inc VAT)
Our fees are fixed, and bills will have costs detailed above, however there may be factors which would typically increase the cost of the fees.
Reasons that may lead to an increase in cost include:
- Any work done amongst the expiry of a demand letter and the issuing of Court proceedings for example telephone chasers.
- Enforcement proceedings on your behalf, such as instructing a Bailiff.
- If your matter is over £10,000 and as such falls outside the small claims track limit.
Debt Recovery – Team Details
Our team of specialist debt recovery solicitors have years of experience in dealing with debt recovery matters. Our senior partner, Marium Razzaq heads up the team and has been working in this area for over 15 years, leading all of our cases to a successful conclusion.
We have vast experience in all aspects of debt recovery and we dedicate ourselves to ensuring our knowledge stays up to date, in order to give you the best service possible.
We also employ a team of paralegals who do much of the day to day work on cases. Although they are not legally qualified, they have between 2 and 10 years’ experience, have received extensive training within our firm and work under the direct supervision of a solicitor with at least 5 years post qualification experience.
We always make sure that junior solicitors and members of staff are supported and supervised appropriately so that the quality of advice is not affected, regardless of who is working on your case.
We have a proven track record in achieving successful outcomes for our clients.
Contact a Solicitor in Manchester for costs for Debt Recovery legal advice
For more information on our prices for debt recovery legal advice representation, contact our expert team at JMR Solicitors now on 0161 491 3933 or you can email us at email@example.com.