How Our Pricing Works
This example aims to help you understand how Waterstone Recovery collection fees are charged.
You have a debt of $1,000 including GST owed to you that you have not been able to recover from a customer. You decided to use Waterstone Recovery to assist you to recover the $1,000 (the original amount of the debt).
After receiving the debt information from you we will invoice you for the debt lodgement fee of $39.00 plus GST. This amount is refundable if all collections costs are recovered from the debtor.
Waterstone Recovery will always endeavour to recover the original amount of the debt and all collection costs from the debtor. We send a demand letter to the debtor asking them to pay the following:
Whether or not we can recover $1,274.85 from the debtor will depend on the terms of trade the debtor has signed with you.
If your terms of trade make the debtor liable for debt collection costs then Waterstone Recovery will most likely be able to recover the full amount from the debtor. When the $1,274.85 is recovered from the debtor we will keep $230.00 (20% + GST of initial debt) and remit the remainder by direct credit into your nominated bank account (this assumes the debt lodgement fee has been paid by you and is therefore being refunded).
If, for whatever reason, the debtor pays the original amount of the debt but is unwilling to pay the Waterstone Recovery fees, Waterstone Recovery will, if the amount is paid to Waterstone Recovery, deduct the collection fee from the amount collected and remit the balance to the Client. By way of example:
If, for whatever reason, the debtor pays the original amount of the debt but is unwilling to pay the Waterstone Recovery fees, Waterstone Recovery will, if the amount is paid to the client, invoice the client for the collection fee. By way of example:
|You receive from debtor||
|Our invoice to you||
|20% plus GST of the debt for debts under $5,000 *|
|Net result for you||
You may think this is potentially expensive to you, but look at the net result – you are $770 better off than if you had not referred the debt to Waterstone Recovery and the debt remained unpaid.
* See our Service Fees page for commission rates on other size debts