Charging

The word "collection" in its simplest form is a demand for a payment.

The word collection is often used by public, municipal, governmental organizations or companies, such as SKAT, Motorstyrelsen, Gældsstyrelsen or your local municipality. Thus, you often see the word "collection" used in connection with the payment of a tax, fee or similar.

Collection is rarely used by private companies and organizations, where the synonym is typically invoice, bill or similar.

A collection is often in the form of an invoice and is also paid in the same way as an invoice, with the creditor's payment details at the bottom of the collection.

Consequence of not paying a charge

The consequences of not paying a charge can be severe for the debtor.

If a debt collection from, for example, SKAT, the municipality or another public authority is not paid on time, the debt is often transferred to a debt collection lawyer or debt collection company - or to the National Debt Collection Agency.

After this, it is typically the Danish Debt Collection Agency or the debt collection company with whom further dialog about the collection should take place.

If the charge is sent from a private company, such as an insurance company, parking company or similar, the charge is treated as if it were a simple invoice claim, and thus the collection can either be done on your own or through a debt collection company.

Only public authorities can send a debt to the National Debt Collection Agency for collection.

Debt collection

If you need help collecting a debt or help collecting an unpaid invoice, as a creditor you basically have two options: self-collection or collection with the help of a debt collection agency, lawyer or bailiff.

Only authorized debt collectors are allowed to help collect debts on behalf of others. In addition to debt collectors, lawyers are also allowed to help you with your debt collection. However, not all lawyers are involved in debt collection. Those lawyers who do deal with debt collection often refer to themselves as debt collection lawyers.

No option to pay a charge

Of course, the debtor may find themselves in a situation where they are unable to pay a debt.

This will often result in debt collection, reminder letters, demand letters and the imposition of reminder fees and interest on the debtor.

As an authorized debt collection company, we naturally recommend that the debtor always contact the creditor or the creditor's debt collection company if the debtor is unable to pay the debt.

Collectia can help with municipal collection

At Collectia, we help large Danish companies, insurance companies and municipal companies with their collections from citizens.

We have a municipal debt collection product that can help your municipal workplace - if the Debt Agency can't.

Charging abroad

If your customer has moved abroad or you have sold products to customers living outside the Danish border, Collectia can help you. With the help of our 'international debt collection' service, also called foreign debt collection, we can collect debts in most parts of the world.