What are your fees and how are they calculated?
Our fee is calculated as a percentage of amount that we collect.
Legal fees and outlays are payable by you in addition to the fee scale outlined below. In most cases your legal fees can be added to your claim and recovered from the debtor (subject to court rulings).
Fees on large recoveries or for high volumes of work are negotiable. We are keen to create new business partnerships and we are more than happy to work with you to make it happen.
Our commission works on a sliding scale. The larger the debt, the lower the commission percentage charged.
|Debt Value||Fee % (Ex-GST)|
|< $200||50% (Min Fee $50.00)|
|$201 to $500||35%|
|$501 to $2000||20%|
|$2001 to $7500||17.5%|
|$7501 to $50,000||12.5.%|
|$50,001 to $100,000||7.5%|
How long will it take to get a result?
This is a difficult question and the answer depends on many factors. Nexus will action your request immediately upon receipt of your instructions.
Experience shows us that debts not requiring litigation are often settled within 14-21 days. We’ve had plenty of debts settled within 24–48 hours.
Each circumstance is of course different though, perhaps if a debtor is experiencing genuine hardship we may recommend to you that we enter into a payment arrangement (which we will monitor and enforce) to allow the debtor time to recover and ensure you ultimately receive your payment in full. Remember, we only get paid when we collect the debt. Rest assured we want to get paid as quickly as you do.
Can I charge my customer for your commission/collection fees?
There are different laws in each state and territory but in general debt collectors are prevented from adding their costs to a debt.
In Queensland for example, the Debt Collectors (Field Agents and Collection Agents) Act 2014 specifically precludes commercial agents from adding their collection fees to the amount owed by the debtor unless you have a signed agreement in writing with your customer that was entered into before supplying the goods or services to them.
Well drafted terms of trade will mean that in most cases you will be able to collect our fees in addition to your core debt. Talk to us about your terms of trade and we’ll let you know if they’re giving you the cover you need.
What geographic areas do you cover?
Nexus operates throughout Australia supported by a panel of law firms who prepare our legal documentation in all states and territories. Our offices are located in Brisbane and on the Gold Coast and all collection activities are managed from the Gold Coast office. Nexus has field operatives throughout Australia so we can handle all of your collection requirements regardless of where you or the debtor is located.
Will this affect my customer’s credit rating?
If the matter proceeds to court and a judgment is obtained this will appear on your customer’s credit file maintained by VEDA Advantage, Dun & Bradstreet and other credit reporting agencies. Judgments are frowned upon by credit providers in today’s economic climate.
A judgment will mean that it is near impossible for your customer to obtain credit until the debt is cleared and even after that time, there is no guarantee that credit provider will want to deal with the debtor. Credit doesn’t just mean a loan or a credit card, it can include utilities such as gas, phone or electricity, and store accounts such as “interest free” deals from retailers. The damage that a judgment can do is lasting. It remains on the person’s file for up to 5 years.
What happens if my customer won’t pay after you have contacted them?
Our recovery process is focused and relentless, but fully compliant with state and federal privacy and trade practices laws in relation to how we pursue debtors.
After all other avenues have been exhausted, we may recommend issuing legal proceedings. This is done strictly on a consultative basis with you, and all costs will be clearly explained up front for you.
Legal proceedings do not always result in recovery of the debt or your costs and issuing proceedings for the wrong reasons can be an expensive exercise. We have significant experience in litigation matters and are well equipped to offer you the best advice available.