Spanish Debt Collection Agency Humiliates Debtors Into Paying Up
Would you be embarrassed if someone in atop hat and tuxedo followed you into a restaurant and silently joined your lunch date? How about a trio of men with more to love dressed like superheroes asking your neighbors for donations to assist you in your financial situation?
In Madrid, be sure your bills are paid off or you may be visited by one of these interesting characters. The recession has slammed Spain hard. Official figures show that the unemployment rate has sky rocketed, reaching 19.3 percent. That is one of the highest rates in Europe. Around four million people are not working. That\’s the same number of jobless people as France and Italy put together. One business is flourishing however, that business is debt collection.
Spanish law is pretty relaxed when it comes to paying debts. They permit 95 days to settle bills unlike the 30 in other parts of Europe. This, coupled with the fact that Spanish courts give the matter low priority put collection companies in high demand.
One agency, El Cobrador del Frac – which translates as \”The Debt Collector in Top Hat and Tails\” – has more than 250 collectors, and an equal number of secretaries and investigators.Their goal is to work out some deal and retrieve money, not to go after people without the means to pay.
For them, the new business stems from constructive trade which is suffering badly from a huge slowdown. Homeowners owe money to contractors, contractors owe money to construction companies, construction companies owe equipment makers, and so on and so forth.
Last year, the company had a wedding company contact them about a couple who didn\’t pay the $83,000 bill for their huge over the top wedding. The company obtained a wedding guest list and began calling up guests one by one on the phone and asking them if they had the chicken or the lobster, and then asked them where to send the bill. Eventually the shamed couple paid up.
These ideas are quirky, (I guess that is one way to describe it) but they will not be this effective in times to come. In this time of economic crisis, too many people have debts and they honestly can\’t pay. And to these people, it doesn\’t matter how much you humiliate them.
Mallory Megan is employed by a debt collection company. She also writes articlesabout business, finance, consumer spending and debt collection. Visit the Uber Article Directory to get a totally unique version of this article for reprint.
