The common fee models
| Model | How it works | Watch for |
|---|---|---|
| Commission (no collection, no fee) | A percentage of the amount recovered | Which cases are eligible, and minimum fees |
| Fixed fee per case | A set price, paid whether or not money is recovered | You pay even if the debtor never pays |
| Subscription | A monthly fee for letters or software | Ongoing cost and how much work is actually done for you |
| Legal-stage costs | Court fees and solicitor costs if a claim is issued | Whether they're agreed before any action |
HeyEngage Collections fees
- Under 90 days overdue: 10% of what we recover
- 90 days and over: 12–15%
- No collection, no fee on eligible cases
- Mainly pre-legal. Any legal step is discussed case by case, with costs explained first
- No account or file upload needed to enquire
Questions to ask any agency
- Is the fee charged only on money actually recovered?
- Are there setup, letter or tracing fees?
- What happens, and what does it cost, if the debtor disputes the debt?
- How will you report progress to me?
- How do you treat my customers, and can I see the wording you use?
Before passing a debt on, make sure you've sent a letter before action and calculated any statutory interest you're owed.