Frequently asked questions
How does your service work?
Our services are easy to use. You just need to deliver the information about the debt to our customer services. Often the data can be found on the invoice, in which case sending us just a copy of the invoice would suffice. However, it is also advisable to add information about your own debt recovery efforts, e.g. about the payment notices sent by you.
You can deliver the information conveniently using our for instance via e-mail or fax. You can also use our assignment form on this website.
When we receive the debt collection assignment, we will verify the data of the assignment and start the debt collection activities. Typically, the collection process starts with a debt collection letter, which is sent to the debtor, as appropriate, once or twice. If the letter-based collection does not yield a result, we shall consider, on a case-by-case basis, whether or not to start the judicial collection process.
Will I be charged for the costs, if the debtor pays the invoice directly to me?
Sometimes the debtor pays the invoice forwarded for collection directly to the account of the original creditor. According to the Act on the Collection of Debts the debtor has privilege of the “payment protection”, under which the debtor may pay the debt to the account of either the agent or the original creditor.
If the debtor pays the debt, which has already forwarded to the debt collection, to your account, you have to notify our services immediately. In your notice please set out the information about the amount paid as well as the date on which the funds were credited to your account.
If the debtor has paid the invoice at least 4 days before the date of the debt collection letter, no collection fees will be charged from the debtor.
If the customer notifies us of the payment without delay, and if no collection fees can be charged to the debtor for the reasons described above, SPT Finland will bear any costs stemming from the debt collection. Such a situation emerge from time to time for various reasons.
However, if the customer delays unreasonably the notice concerning the payment, the customer could incur the obligation to compensate for the collection costs under our terms and conditions of delivery of service. When assessing the need to invoice for the collection costs, we shall always consider whether the delay was intentional or if such behaviour is recurrent in case of the customer in question.
Will I be charged for the collection costs, if the debtor does not pay the amount owed in spite of the collection proceedings?
Yet SPT Finland’s debt collection is effective still sometimes because of the debtor’s insolvency the debt cannot be collected – in that circumstance we will bear the loss caused by the collection costs. This can happen, for instance, if the debtor dies or is declared bankrupt, and the estate does not have sufficient funds to pay the debt.
Often the debt collection is continued further either in procedure of post-collection, or by summon to the competent district court. The appropriate method to proceed is always designated case by case, depending on the payment capacity of the debtor.
How quickly would I get the funds?
The time-schedule of successful debt collection is always case-specific. The debt collection proceedings are always dependent to the payment capacity and intent of the debtor. Often a debtor pays the amount owed as soon as the first collection letter is sent, but in some cases the debt collection requires more time as for instance when judicial debt collection methods are needed.
What makes you differentiate from other debt collection agencies in Finland?
The ultimate objective of our service is to offer our customers collection services, where the collection costs are paid by the debtor. The free services offered by most of the debt collection agencies in Finland only cover the voluntary letter-based collection service, and often the service costs for creditor rises when the case is referred to judicial collection and enforcement proceedings.
Our service concept, where the collection costs are charged from the debtor, also covers the judicial collection and enforcement proceedings in undisputed debt cases, in accordance with our terms of delivery. Any expenses stemming from our collection activities are charged directly from the debtor when the debt is recovered.
Our service concept, where the collection costs are borne by the debtor, covers the domestic collection process from the collection letters to the judicial collection and the enforcement proceedings.
How much does judicial collection cost?
The costs of judicial collection are covered by the debtor in the same way as the collection costs. This is also mentioned in our terms of delivery.
Do you handle collection of overdue rent?
We do handle collection of overdue rent for lessors. In case of collection of overdue rent it is important that we get all and any necessary information pertaining to the amount owed.
In order to collect overdue rent, we shall need the following information
- A copy of the tenancy agreement, as the agreement contains most of the data we need
- The amount of the outstanding rent payments, and their due dates
- If the lessor is an individual, we will need the personal ID number of the lessor
- Information of any collection measures taken by the lessor
- Information about whether the debtor is still residing in the rented premises, and if so, whether it is intended to evict the lessee from that address
Having received the above listed information, it is possible to start the process for collecting the overdue rent. If the lessee has made payments to cover outstanding rent payments, the payments should always be applied towards the oldest of the overdue rent payments
What happens if I wish to cancel the debt collection proceedings?
If the customer wishes to cancel the debt collection proceedings, our collection agency may charge the costs stemming from the collection proceedings from the customer. The collection agency applies this practice, because the failure of the collection proceedings was caused by circumstances other than the debtor’s insolvency and therefore we have not had any possibilities to influence the success of the debt collection process.
Do I have to send a signed power of attorney?
If the collection process progresses to the judicial collection stage, our collection agency would need a power of attorney signed by the customer to start the judicial actions. If the customer fails to provide the collection agency such power of attorney, regardless of our requests, we shall regard this as a cancellation of the collection.
In certain cases we need from the customer specific information to collect the amount owed. If the required information is not delivered, regardless of our requests, such shall constitute a breach of contract.
What does the term ‘suspension request’ mean in case of a consumer collection process?
In case of collection of amounts owed by consumers the debtor has the right – after the debt has become due and payable – submit the creditor a suspension request, and demand that the collection of the debt be moved directly to the judicial debt collection and further to the enforcement proceedings.