FAQ’S Collections

What is a Collection Agency?

A collection agency is a third-party company that is hired to help collect the debt that is owed to a creditor.

What can a Collection Agency do?

A collection agency can send you letters, make phone calls and take legal action should you refuse to repay your debt.

Can a Collection Agency take legal action against you?

Yes, A collection agency can take in the case you refuse to repay your debt to the creditor.

Can a collection agency call you at work?

Yes, a collection agency can call you at your place of employment, however there are some rules your debt collector must respect.

Can a Collection Agency call me at any time?

No, there are strict rules as to when and how a collection agency can call you.

Can a Collections Agency affect my credit score?

Yes, a collections agency can place the debt you owe as a delinquent account on your credit bureau.

Can I stop a debt collector from calling me?

Yes, if you have a legal advisor, you can also have your debt collector contact them in lieu of you. You may also request that your debt collector only contact you by mail only.

Can a Collection Agency charge me with a crime?

No, collection agencies cannot charge you with a crime if your debt is not repaid. Only civil remedies are available for a collection agency should you not pay your debt.

Can a debt collector suggest someone else pay my debt for me?

No, a debt collector cannot suggest that your friends, family, or employer should pay your debt. The only exception as to when this is possible is if the above-mentioned party have co-signed for your debt.

What should you do if the debt is not mine?

Inform the debt collector that the debt is not yours, contact the creditor so they can correct the error and verify your credit report to see if the debt appears on it.

What is the best way to pay my debt?

The best way to pay your debt is by means that provides a receipt or proof of payment. Sending cash is not advisable.

What if I am unable to pay my debt in full?

Explain your situation to the debt collector and offer an alternative such as a monthly payment plan that will cancel your debt in an opportune time.

FAQ’S Legal

Can I take my debtor to Court for an outstanding debt?

Yes, you can. If the debt is less than $35,000.00 the appropriate Court is the Ontario Small Claims Court. Should the debt exceed $35,000.00 the appropriate Court would be the Superior Court of Justice.

How long do I have to make a claim?

Most civil claims have a statue of two years to bring forward a civil claim, however this may vary depending on how the situation arose and what you are seeking as a remedy. The best way to find out is to seek aid from a legal professional.

Can I claim interest in my claim?

Depending on the type of claim you have, you may have the opportunity to claim pre-judgement and post-judgement interest. This would be in additional to the amount you are seeking to recover.

Do I have to be represented by a lawyer?

Within the jurisdiction of Small Claims Court, a paralegal may represent you. Should your case fall in the jurisdiction of Superior Court of Justice, then you must be represented by a lawyer.

Is there a way to make my debtor pay for my legal fees?

Yes, should your case be successful, you may ask the judge to award you legal fees for having to incur in the cost of representation and filing. However, the costs awarded may not always cover the totality of your incurred legal fees.

How do I enforce my Order from the Landlord and Tenant Board?

You must transverse the file into a Small Claims Court file and enforce the Order by this means. From this point you will have a variety of remedies available to you.

Does a Landlord and Tenant Board Order expire?

Yes, a Landlord and Tenant Board Order has a validity of 6 months to enforce an eviction. Should you not enforce an eviction within this time, then you must request a new order from the Landlord and Tenant Board.

What if I do not know where my debtor is?

To notify the debtor of an action, you may notify their last known address. However, there are some tools for enforcement that require knowing the whereabouts of the debtor. Should you want to find them, you may use a Skip Trace Investigation to attempt to locate the debtor.