There are many ways to recover a debt.  Here are 8 of them.

  1. Speak to the person or entity that owes you money and negotiate a payment arrangement.  This can often be a cheaper and quicker method of recovering a debt.  However if the debtor is uncooperative, it may be necessary to move on to another step.
  2. Letter of demand issued to the debtor.  A well written letter can create a situation where a debtor is inclined to pay a debt.  Also, a letter of demand can be relied upon in support of an application to the Court that the debtor should be ordered to pay the creditor’s legal costs, including on the indemnity basis.
  3. Statutory demand issued to the debtor.  Where there is no genuine dispute about the existence or amount of the debt, a statutory demand can be used as a cheaper and quicker way to recover a debt as opposed to commencing legal proceedings in a Court.
  4. Commence legal proceedings in the Local Court of NSW for claims under $100,000, District Court of NSW for claims between $100,000 and $750,000 and Supreme Court of NSW for claims over $750,000.  Once the proceedings are served, the debtor will have 28 days to file any defence to the claim, failing which the creditor can apply for default judgment against the debtor.
  5. Commence a claim in the NSW Civil and Administrative Tribunal.  Certain types of claims can be dealt with by the NSW Civil and Administrative Tribunal and judgments of the Tribunal can be enforced.
  6. Commence a claim in the Federal Court of Australia or Federal Circuit Court of Australia.
  7. Make a complaint to the Australian Financial Complaints Authority.
  8. Complain to the Telecommunications Ombudsman, Fair Work Ombudsman, Tolling Customer Ombudsman or other Ombudsman.

To discuss with a solicitor the recovery of a debt, please contact us on (02) 9633 1826 or email

Stephen McAuley, Principal Solicitor

McAuley Hawach Lawyers

11 Fennell Street, Parramatta NSW 2124

Telephone: (02) 9633 1826

Facsimile: (02) 9687 8114 (02) 9687 8114



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