How does a debt collection agency in Norway work?

Debt collection agencies in Norway use two types of activities when they collect debt or unpaid bills for their customers: legal and amicable debt collection. Amicable debt collection in Norway includes all activities that the debt collection agency does itself, for example contacting the person or company that owes money, to convince them to pay the debt. The debt collection agency can, for example, offer payment plans or special arrangements, thus making it possible for the creditor to get paid as much and as fast as possible.

Legal debt collection in Norway

If the debt collection agency is having difficulties collecting the debt itself, it can use legal debt collection. This means sending the case to the legal authorities, Forliksradet or Namsmannen. This way, the debt can be validated and the creditor can get a pledge on the debtor’s property. After that, the debt collection agency can collect money by demand sale of the property.

Debt collection in Norway and abroad

In debt collection in Norway, the debt collecting agency is allowed to charge much higher fees than collection agencies in for example Sweden, Denmark and Finland can. This can be used as a means of pressuring the debtor to pay his unpaid bill or debt as soon as possible to avoid these high fees. Because of this, debt collection in Norway often gets a very good result.

Norwegian debt collection agencies

A leading debt collection agency in Norway is Kredinor, member of ECA, European Collectors Association. KrediNor has been in business since 1905 and have more than 250 employees in 13 cities, like Oslo, Bergen and Trondheim.