You need efficient

Debt Collection Services

European Reality Services are in a formal partnership with Intrum Justitia, one of the largest debt management companies in the world, with whom we work together chasing debts generated by current or former tenants. Please also note that should you have any other debt in the Czech Republic which you would like to recoup, you are able to subscribe to this service through us. Intrum Justitia is Europe’s leading provider of credit management services, otherwise referred to as debt collection services; they have more than 90,000 clients around the world with over 3,000 employees operating across 24 markets within Europe. It also has an additional network of agents in 160 countries outside of Europe to help bring its presence to a global level.

They implement modern methods of debt collection, using high end strategies to obtain outstanding debts from individuals whilst providing them with a wide range of payment methods in order to encourage prompt repayment of the monies owed. Intrum Justitia’s debt surveillance team monitor debts for periods of up to five years using period contact via telephone, letters and agent visits. They have found that by being in regular contact with debtors using a specific and focused approach has proven very successful across the board, we can now share their success with you as our client and ensure that any debtor issues in the future can be taken care of in the best possible way.

Intrum Justitia charges a standard rate of 15% + VAT from the amount collected, however after some negotiating we are happy to inform you that ERS clients receive a discounted rate. This is the amount which Intrum Justitia will take as their fee, and the remainder of the debt will be transferred directly to you, inclusive of all interest owed. Intrum Justitia will calculate this interest based on the amount owed by the debtor [from the date that the debt was created], which will in turn be owed to you – so the longer the debtor takes to pay, the more money they owe to you.

Here is an example calculation in a situation where a debtor pays everything in one payment:

Base debt: 10,000.00 czk
Plus total interest at the day of payment: 3,000.00 czk
Total Outstanding: 13,000.00 czk
Minus 10% + VAT Intrum Justitia fee: 1,560.00 czk
Remainder to be transferred: 11,440.00 czk

In cases where the debtor will only pay a portion of their debt, the remaining amount will continue to generate penalties in the form of interest.

ERS internal staff need to perform a variety of tasks on your behalf whilst working closely with the team at Intrum Justitia in tracking and monitoring all payments. Due to this additional work load we will be charging any tenant with an outstanding debt a fixed administration fee to cover our costs. Our fee is completely separate from the amount owed to yourself which means the total debt & penalties, less the Intrum Justitia fee, will be payable in full to you. Please also note that in cases where the debt is for rental income we will deduct our Property Management fee of 9% from any money collected as standard, however in cases where the debt is not for rental income, this will not be applied.

If you have anymore questions in regards to this service please do not hesitate to contact us and find out how we can help you today.

Contact us today on info@europeanreality.com or telephone us on +420 224 827 500 or +420 736 535 556