Is a debtor worth chasing?

Debtor tracing

Is a debtor worth chasing

Is a debtor worth chasing or indeed tracing is a question that is ever more important in 2019 for some reasons that we will expand on in this blog article. There are firstly the questions around what is a debtors true financial picture, information is power in debt recovery and this is something that needs to be answered in the first stages to formulate the correct collections strategy.


Discover financial background

So many times a creditor will chase a debtor without knowing if the subject is a “Man of straw” or a “Man of means”. This really is not a informed method of recovery and normally results in no collection of the outstanding debt. The details around a subjects wealth and means can be sourced by requesting a financial background check

The financial background check from will outline major assets the subject has for example house or land assets in the UK and indeed give a picture as to the subjects current credit information in terms of CCJ´s and outstanding credit commitments.

Once this check has been conducted you start to obtain far more leverage over a debtor in terms of knowing what the reality is and what is going to be appropriate action and whether it is cost permitting. With the rise in court fees and enforcement fees it is far wiser to know what the reality is not only to save on cost vrs success but also it will enable one to choose the correct and most effective enforcement method based on the true informational picture of the subject.

Of course there is the old school train of thought that even if recovery of the sum is not viable the process for some is “retribution” enough, for example making a subject debtor bankrupt where no major assets lie the creditor knows that they stand to recover zero and be burdened just with cost but it will have a huge impact on the debtor in terms of lifestyle and hassle. I suppose another question would be “is worth it” just financial or is “revenge” of a debt not being paid also a valid point for a creditor.


Is it worth chasing a debt

I would normally advise that ROI is the best policy, if you can recover because there are major assets currently or over the next 5 years there is a chance that assets may start to appear then it is worth pursuing the debt via the courts and enforcement when appropriate. I say in the future as one can make an informed judgement call on it, for example if a debtor is out of work currently but has a history of very well paid jobs one could argue over the next 5 years that they will probably have another high paid role, making it worthwhile to pursue. Yes no immediate repayment of the debt but investing in the future possibility is always worth in my mind.

The key take away is information is key to any debt recovery process and being armed with key information about a subject debtor is key to recovery – this key information is easily obtained via a financial background report from


To discuss any debt recovery matter in more detail call us 01273 252539


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