There’s a lot of talk about bailiffs in the world of debt recovery, but they’re not the only option. There are actually a handful of bailiffs alternatives to be aware of, such as High Court Enforcement Officers (HCEO) and debt collectors. These are both a type of bailiff, but there are some key differences in regards to what they can and can’t do. In this blog, we have taken a look at bailiff alternatives and the role they play within debt collection.
Bailiffs vs. HCEO vs. Debt Collectors
The terms are often used interchangeably, but bailiffs, High Court Enforcement Officers (HCEO) and debt collectors are all different roles. In fact, HCEOs and debt collectors are both types of bailiff. They have the same job, which is to retrieve a debt on behalf of a creditor, but they do so in different ways. Bailiffs, HCEOs and debt collectors can all visit a debtor’s home, but they don’t have the same power when it comes to entering the property and removing goods.
HCEOs work on behalf of the courts, and they have a lot of power. They can enter a building using force in some circumstances, whereas debt collectors cannot. Debt collectors are hired privately, often by creditors, and their powers are more limited.
What Can a High Court Enforcement Office Do?
As one of the bailiff alternatives, a HCEO acts on behalf of the court and they are appointed by the Ministry of Justice. The High Court enlists HCEOs to collect debts and County Court Judgements, including those related to income tax, national insurance and council tax. They have more power than debt collectors, but they do have rules and regulations to abide by. For example, they can force entry into a business premises and they can take items up to the value of the debt’s value, which includes interest and the cost of the debt enforcement itself.
However, HCEOs are not able to take any items which are essential for a business to continue running, nor can they take anything that’s being leased or hired. HCEOs are not allowed to intimate a debtor when collecting a debt, use violence or act aggressively.
What Can a Debt Collector Do?
Debt collectors are bailiff alternatives, but they have a slightly different job than HCEOs. Usually, a debt collector works on behalf of a debt collection agency, and they are hired by the creditor to collect a debt. They are not allowed to collect goods to pay off the debt, but they can encourage a debtor to pay.
They can collect money for debts, but they can’t take any goods without the debtor’s permission. They are not allowed to force entry into a property, and they can’t enter without being invited. If the debtor asks them to leave, they must leave straight away. Compared to HCEOs, debt collectors have limited powers, but their sole focus is on recovering money owed.
When it comes to enlisting the help of a debt collector, it’s important to seek the help of trained professionals. To find out more, get in touch with the Cobra Financial team.
