How to collect large debts between individuals in Spain?

It may be common for individuals to have high debts that we want to collect, knowing that it is not a simple or pleasant process. However, it is important to know the procedure to follow in order to recover the money that belongs to us. 

Throughout this post we will explain how to collect large debts between individuals in Spain. Forward!

How to collect high debts between individuals

The collection of debts between individuals is a more complex situation because, in the case of companies, there is always or generally support that proves the existence of said debt. However, between individuals, it may be the case that this support or justification does not exist, making it an even more difficult procedure if possible.

Despite the difficulty involved in collecting high debts between individuals in Spain, there is the possibility of achieving it, regardless of who owes us the money.

The first and most important thing is to know that personal debt collection actions expire within a period of five years. Therefore, this period must always be taken into account to avoid not being able to exercise our right. The prescription begins at the moment the obligation is breached, that is, from the moment the other party does not pay us the money it owes us.

The steps to follow to collect high debts between individuals in Spain

In order to get the money that corresponds to us, it is important to follow a series of steps that we will explain below:

• Acknowledging the debt: it is nothing more than the act by which the existence of a debt is recognized and that it has not been satisfied, that is, that it has not been paid. With this action, in addition to accepting the existence of the debt, we are accepting all the clauses of the contract by which the debt is justified. This step may be taken when there is a contract or support that justifies the existence of the debt in question.
• Claiming the debt: when the debt is claimed between individuals, any email or message that exposes the transaction that was carried out can be used as support or proof; That is, it would serve as evidence before the courts. If, on the other hand, there is no evidence, judicial proceedings will not be possible, that is, we will not be able to demand payment of the debt in court, but we will have to demand it through negotiations or mediation with the party. debtor; That is, an extrajudicial procedure will have to be accessed.
• Recover a large debt between individuals: for anyone it is really important to recover their money and, even more so, when it comes to large amounts, for example 50,000 €, which can reduce their personal and family finances. It is therefore necessary to make the effort to recover either the loan that had been granted or invoices that had not been paid on time. The amount of said debt will be a determining factor when making such an effort to recover it. 

A verbal contract in Spain is legal and, therefore, if there is no contract as such the debt may still be collected. Other evidence may be provided such as bank statements, emails, telephone records... therefore, it is recommended that the loan be made by bank transfer, so that there is a record of it.

How do you start the procedure to collect large debts between individuals in Spain?

In the friendly phase, the procedure to claim particular debts will begin with an attempt at an agreement, either by telephone or email. If after this attempt the other party continues to deny payment of the debt, the next step will be to send a burofax through which the repayment of the loan is demanded, also negotiating the form of repayment.

If this route is not effective either, and already in the judicial procedure phase, it will be necessary to proceed to file a legal claim. In the case of a high debt, that is, a debt that exceeds 6,000 €, the procedure to be used, in general, will be the declarative one; Otherwise, a monitoring procedure will be carried out, but this is not the case that concerns us. At the time you must go to court to collect the debt, it will be the defaulting party who must be responsible for paying the expenses incurred. 

The declaratory procedure can be ordinary or verbal and the intervention of a lawyer and attorney will be necessary. The parties will present allegations and, later, the parties will be called to a pre-trial hearing to try to reach an agreement. If this is not possible, an oral trial will be held in which the evidence in the power of the parties will be presented and, once this is completed, it will be seen for sentencing.

The verbal trial is a shorter procedure than the ordinary one, however, when the amounts are high the procedure that will be carried out will be the ordinary declarative one.

If you want to collect a debt between individuals in Spain, contact Forcam Lawyers, we have lawyers specializing in debt collection in Barcelona, ​​Madrid and Reus, but we collect debts throughout Spain.