Debt Collection | Effective and Efficient Legal Debt Recovery

What Problems Can Unrecoverable Debt Cause?

Debt collection presents a challenge for many businesses and individuals, especially when the debtor delays or refuses to pay. Effective debt recovery requires legal tools and a proper strategy to ensure the fastest possible return of legitimate claims.

Unpaid debts not only result in financial losses but can also threaten the long-term operation and financial stability of a business. If a debtor delays or refuses to pay, the following problems may arise:

Liquidity Issues:
Unrecoverable debts reduce a company's financial flexibility, which can hinder daily operations and further investments.
Loss of Time and Resources:
Lengthy negotiations with debtors can consume significant time and energy that could otherwise be spent on business development.
Increased Risks:
The longer a debt remains unpaid, the higher the risk that the debtor becomes insolvent, reducing the chances of successful recovery.
Deterioration of Business Relationships:
Financial disputes and prolonged legal proceedings can damage business relationships and harm a company's reputation.

The sooner action is taken to enforce a claim, the higher the chance that the rightful amounts are actually recovered.

How Can I Help You?

Out-of-Court Debt Collection
The first and fastest step is to send a formal demand letter to the debtor. This is not only an effective means of exerting pressure but can, in some cases, be sufficient to settle the debt. A lawyer’s letter carries significantly more weight than a simple payment reminder and increases the seriousness of the claim in the eyes of the debtor.
Comprehensive Solutions
In addition to legal claims management, my partner Credit Management Kft., with over 10 years of experience, supports my clients with traditional debt collection methods. This ensures that clients have the option of both legal and conventional debt recovery solutions.
Out-of-Court Settlements and Payment Agreements
If the debtor shows a willingness to pay but cannot settle the full amount at once, I assist in structuring legally secured installment agreements that minimize my client’s risks. These agreements provide legal guarantees to ensure that the claim is gradually but securely recovered.
Payment Order Procedure (FMH)
Most debts can be quickly and easily enforced through a payment order procedure. This is a non-litigious process that allows debt recovery without court proceedings, saving time and costs. If the debtor does not file an objection, the FMH becomes enforceable, providing a fast legal solution.
Litigation Procedures
If the debtor does not cooperate and legal enforcement becomes unavoidable, I provide full legal representation in court proceedings. From filing the claim to handling the evidentiary process and enforcing the final judgment, I represent my clients' interests at every stage.
Enforcement Proceedings
If a claim is backed by a final court judgment or a payment order, the next step is enforcement proceedings. During this process, I ensure that the debtor’s assets are identified and that the legitimate claim is recovered from available assets.
Bankruptcy and Liquidation Proceedings
If the debtor becomes insolvent, it is crucial for creditors to legally assert their claims in bankruptcy or liquidation proceedings. I assist in filing claims, taking necessary legal steps, and ensuring that my clients receive the highest possible share of the available assets.

Why Is It Worth Enforcing Your Claims Through Legal Means?

A faster and more effective solution compared to lengthy and uncertain administrative debt collection.
A lawyer’s demand letter or legal action increases the debtor’s willingness to pay and reduces the risk of prolonged debt management.
Legally secured agreements minimize the chances of delayed or partial payments.
Timely action significantly reduces the risk of the claim becoming uncollectible.