Debt Collection FAQ's

What are the criteria for accepting debts to chase with Guardian?

- The lowest amount we take on is $125. - No disputed debts. - Proof of debt (invoice/signed contract). - The invoice must be more than 30 days overdue. - Debtor must be notified prior to chasing that additional charges for collection will be incurred, if this does not happen, you as the client are liable for the collection costs to chase the debt. For smaller debts we encourage you to use www.icollect.co.nz

Is there a minimum number of debts I need to have?

No, we can collect on one debt, or many. If you have over 25 debts to chase, please give us a call on 09 4141 5346 or email sales@guardiancredit.co.nz one of the team can then discuss the options available to help cater to your requirements.

What do you charge for debt collection?

We have a set-up fee of $39 + GST per debt. Our commission is 23% + GST on any debts collected. We operate on a No Collection, No Commission basis. We charge an admin fee of $49 + GST to the debtor which is payable by the debtor and not our client.

Are there any upfront fees or sign up charge?

Only the $39 plus GST set up fee, which is payable by card on our website. The set up fee will not be refunded on any debts withdrawn after 24 hours of being loaded in Guardian.

What if the debtor pays/communicates with me (the client) directly?

Tell us immediately, we require clients to notify us of any communication or payments.

How will I be updated on progress with my debtor?

We will update you via your account page. Under the 'notes' tab you will see the progress the collections team are making with your debtor. If you wish to ask the collections team any questions, or update them on any information, please comment in the 'notes' tab and the team will be notified and come back with a response. Alternatively, please email collections@guardiancredit.co.nz or call 09 414 5346.

How far can you go back on accounts needing payment?

Ideally, we encourage bad debts to be registered with us once they reach six to eight weeks old, as it’s easier to collect debts under six months. However, we have collected debts that are up to five years in NZ and six years in Australia. 

Do I need to sign a contract?

We ask you to agree to our Terms & Conditions. These can be viewed here Terms & Conditions. Once a debt is loaded in the system and payment has taken place, this is deemed as acceptance for Guardian Credit to pursue your debt.

What if a debtor wants to pay instalment payments?

We encourage you to accept part payments for outstanding debt owed. Debt collection can be a challenge for both the debtor and the creditor. We find that once a debtor commences payments we normally recover 100% of that debt over time.

What is a settlement offer?

A debtor can offer us a one off payment as a final offer. Your personal debt collector will be in contact with you to outline what the offer is. It is up to you if you accept it. If the offer is a fair offer, we do encourage you to take it. This is to help both parties move on.

What if there is more than one outstanding invoice and debt that my client owes me, can I combine them into one debt collection?

You are able to combine more than one invoice to the same debtor. We suggest you load all the invoices outstanding in the system to confirm this. When loading the debt you will need to combine the amount and then load up each of the invoices to the documents tab.

How can I load multiple invoices for one debtor?

All you need to do is select all the documents you would like to load in one go when setting up a debtor. Otherwise, you can load one document when you set up the debt and load the rest when you have opened the debtor up in the account portal after paying.

When does Guardian Credit communicate with the debtor?

The collections team at Guardian only contact debtors between 8am and 7pm. The only exception is if a debtor requests a call back or email outside of these hours.

When do I get paid?

We payout five working days after the debtor's payment has been received by Guardian Credit Services.

What if a debtor is in hardship?

We take every case seriously and upon the hardship team evaluating a debtor being in hardship, the hardship team will then reach out to the client to express the suggested course of action. This is to make them aware of the matter and come out with the best solution for the client and the debtor.

I have no or very little number of debtors responding?

The client portal is accessible 24/7. The collections team leave all contact communication recorded under each debtor for you to view at anytime. If you are wanting to have a discussion in more detail to understand what is happening, please call the collections team 09 414 5346 or email collections@guardiancredit.co.nz. Alternatively, please open the relevant debtor account on the Guardian account portal and under the 'notes' tab, request a call back about the debtor progress. One of the collections team will give you a call back during business hours.

What do I receive when the payments are made to me as the creditor?

You will receive a statement outlining the breakdown of money paid out to you after fees, commissions are taken out.

What information does the debtor receive upon payments being made?

The debtor will receive a GST invoice for their records for the payments received.

Does it matter what my payment terms already say?

If you have agreed terms of trade with your debtors, please make sure you understand your obligations prior to starting the debt recovery process.

What does debtor mean?

A debtor is the person/company that has not paid an invoice on time and the invoice is now outstanding.

Disputed debts - what happens?

We do NOT accept disputed accounts. Upon a debt going into dispute while under our management, the collections team will notify the client of the dispute and next steps.

What does registering a default mean?

Registering a default means that the personal details for the debtor and the value of the debt owing will be registered with Equifax and Centrix, which are national databases of debtors with outstanding debts against their names. The default will last against their name for up to five years. During that time if the debtor wishes to get credit approved, they will not be able to until the debt is paid, effectively giving them a bad credit rating.

How do I register a Default to damage my debtor’s credit rating?

Just follow the steps on your online portal access. You will be charged $30 + GST to register a default. The default stays in place for up to five years.

When should I write off the debt?

Writing off debt is an individual choice. Registering the debt as a default, which gives a bad credit rating to the debtor is one option. Speaking with your accountant regarding the impacts of writing the debt off is advised.

What area do you collect debts in?

We collect debts anywhere in New Zealand & Australia

What do the user levels mean?

We have three user levels for Guardian Credit Services: Owner - has full access to all features. Admin - may view a file, load debts, update debtor details, make comments about the debtor and debt and has authority to make financial decisions about debtors. Basic - may view a file, load debts, update debtor details, and make comments about the debtor and debt.

How long have you been in business?

We have been in the debt collection business since March 1995 and have over 25 plus years of collection experience.

Ready to collect your debt