Human Screensavers

Sometimes it takes time for a creditor to realize the delinquent debtor they are trying to collect from is a human screensaver. You know, the type of debtor who claims their payment is just around the corner and the future is promising. While they have painted a promising future so things look pretty, they never seem to actually follow through and do anything.

Many debtors are proficient at the stall game. They always weave a sympathetic excuse when missing a promise to pay. For some debtors evading debt is a game. For example: In the construction industry some contractors have no hesitation in stalling payment so the creditor misses the deadline for filing a Builders Lien.

Usually, the higher the amount of debt owed, the more sophisticated the debtor is at the stall game. Time is the biggest enemy when collecting debt. Every day, week, or month that passes by reduces your odds of collection.

The Two-Year Waltz

Unfortunately, we see the two-year stall far too often. Most provinces have a two-year statute on suing a debtor. You cannot commence a legal action on a debt that is over 2 years old from the date of the last payment, or the date of the last invoice if no payment was ever made. In these situations, the debtor knows their credit rating is already toast and the creditor can't sue them.

Owners of limited debtor companies usually know when they are going out of business. Their personal survival instinct kicks in. As far as their debt goes, all they care about is paying their secured creditors and creditors that have personal guarantees. Over time their credit rating is decimated so if they can stall the unsecured creditors past the two years, they get away with never being forced to pay.

When you find yourself playing the debtor's stall game, the best option is to place the account for collection. We are extremely effective at collecting from human screen savers.