FSG is a LEVEL 4 B-BBEE
TRACING MENU BAR
HEAD OFFICE DETAILS
+27 (0) 86 1000 979
+27 (0) 86 5168 722
+27 (0) 83 7841 523
PO Box 17, Pavilion,
3611, South Africa
7 Cedar Road, Westville,
3629, South Africa
PSIRA Reg. No.
FSG has corporate
- and field agents in every Magisterial District in SA.
A young brunette goes into the
doctor's office and says that her body hurts wherever
she touches it.
"Impossible," says the doctor.
She takes her finger and pushes her elbow and screams in
agony. She pushes her knee and screams, pushes her ankle
and screams and so it goes on.
The doctor says, "You're not really a brunette are you?
She says "No, I'm really a blonde".
"I thought so," he says. "Your finger is broken."
CONSENT SIGNING SERVICES ('CSS SERVICES')
CONSENT SIGNING SERVICES
('CSS SERVICES') is a term uniquely introduced
by FSG to describe the services of tracing agencies who:
Trace absconded/delinquent debtors, and
Meet with traced debtors to:
Letters of Demand ('LOD')/Notices i.t.o Section 129(1) of the
National Credit Act
('NOTICE’), and obtain proof of receipt of same from debtors.
with debtors the conclusion of Acknowledgements of Debt ('AOD')
i.t.o Section 57/58 and 65(J) of the Magistrate's Court
Act, that includes consent to judgement and consent to
an Emoluments Attachment Order ('EAO') if the debtor
defaults in the ADO. (Some clients stipulate the
installment that they are willing to accept from the
debtor, but to avoid the consequences of
Sec 65(J)(6) of
the Magistrate's Court Act, FSG has developed its
own Means Affordability Test [‘MAT’], that also takes into account
the likes of the marital regime of the debtor and the value of a
debtor’s equity in entities, to calculate the installment a debtor
can sustainably afford.)
CSS SERVICES are intended for attorneys with a
collections practice/division, registered DEBT COLLECTORS and CREDIT
PROVIDERS and FINANCIAL SERVICE PROVIDERS who first attempt to recover
their own arrear debt before instructing an attorney
FSG is encouraging ATTORNEYS with a debt collections practice/division
TO ALSO commence the
legal debt recovery process using the provisions of Sections 57/58 and
65(J) of the Magistrate's Court Act, which for the purposes of this
page we will refer to as the ALTERATIVE METHOD OF LEGAL DEBT RECOVERY (ie.
FSG's CSS SERVICES),
commencing the process by issuing a Summons Commencing Action that must
be sent to the Sheriff of the Court to serve on a debtor (which for the
purposes of this page we refer to as the TRADITIONAL METHOD OF LEGAL
There are numerous advantages to employing THE
ALTERNATIVE METHOD, as follows:
||The tracing agency that is
instructed to perform the CSS SERVICES will automatically trace the
debtor (if this proves necessary) and then MEETS WITH THE DEBTOR to
deliver LOD/NOTICE) before concluding with the debtor
and an AOD. Consequently the time lost and
the wasted cost of the fee of the Sheriff - if the Sheriff's first
attempt at service results in a Return of Non-Service - is avoided
by employing THE ALTERNATIVE METHOD.
||Should the debtor default on
the AOD, the attorney can move straight to taking action to satisfy
a judgement which, if the debtor is employed, can be done by means
of an EAO that the Clerk of the Court will grant only on the
strength that the debtor has defaulted on the AOD, thus avoiding the
time lost and the disbursements necessary to apply for a Writ of
Execution, or to summons the debtor to a Sec 65 (of the Magistrate's
Court Act) Enquiry - which has the advantage of advancing the
litigation process and the generation of cash flow on a collections
instruction MORE RAPIDLY.
There are, of course, several POTENTIAL
disadvantages to employing the ALTERNATIVE METHOD:
- If a debtor is unemployed, proceeding in
terms of the ALTERNATIVE METHOD is pointless.
- Tracing agencies who do not have a national
infrastructure that rivals that of the Sheriff of the Court cannot
reliably be instructed to meet with debtors to deliver a LOD/NOTICE
and conclude an AOD (and first trace the debtor if necessary), which
delays the litigation process rather than speeding it up.
- The attorney who instructs a tracing agency
to to meet with debtors to deliver LOD/NOTICES and conclude AOD
stands to lose a portion of the revenue that can be earned from
attending to debt recovery employing the TRADITIONAL METHOD.
However, FSG has
structured and packaged a service to recover debt using the ALTERNATIVE
METHOD (ie. CSS SERVICES) that MAXIMIZES the
ADVANTAGES and ELIMINATES the POTENTIAL DISADVANTAGES of the ALTERNATIVE
upon receipt of a new CSS SERVICES instruction, the instruction
is assigned to a Desk Bound Tracer ('DBT') who will trace the debtor (if
the debtor's whereabouts are unknown), but who in any event
will call the debtor to establish/arrange the following:
the debtor is employed or not.
||Whether the debtor is prepared to sign an AOD,
but in any event seek the debtor's agreement to sign an
AOD by motivating that
the conclusion of an AOD is an opportunity to
rehabilitate the debt and avoid punitive legal action
and unnecessary legal costs (on condition that the debtor does not default on
client has stipulated the installment sum that the
debtor must pay, whether the debtor is
prepared to pay the installment stipulated, and if not,
to ask the debtor what installment he/she is prepared to
pay, so that our DBT can call our client to establish
whether the lesser installment offered by the debtor is
acceptable to client.
debtor is prepared to sign an AOD (subject to resolving
the issue of an installment offer that is less than that
stipulated by client), to arrange with the
debtor to expect a visit from one of our Tracer Field
Agents ('TFA') and to establish from the debtor at what address, at
what time of the day, and on what day of the week
the TFA should meet with the debtor.
debtor is unemployed but is willing to sign an AOD
and/or if the debtor offers a lesser installment than
the sum stipulated by client,. the DBT will call client
to establish whether client wants FSG:
To obtain an AOD from the
debtor even if unemployed.
Conclude an AOD with the
debtor in the lesser amount offered by the
above issues are satisfactorily resolved, the DBT will
then have the instruction assigned to our TFA deployed
in the Magisterial District where the debtor is prepared
to meet with the TFA.
instructions for which a debtor is not prepared to sign
an AOD, or from whom client does not want an AOD because
the debtor is unemployed or because client rejects the
amended installment proposed by the debtor are then
immediately returned to client in the form of a 'no
success report', no fee is raised, and
client can then proceed to collect the debt using the
TRADITIONAL METHOD. In respect of these instructions for
which FSG produces a no success report, client
will only have been delayed in
proceeding to collect these debts in terms of the
TRADITIONAL METHOD by an estimated period of 7 working
installed TFA in every Magisterial District (and more than one
in the Magisterial Districts that cover densely populated urban
areas). This infrastructure rivals that of the Sheriffs of the
Court nationally, and makes it possible for FSG to perform CSS
SERVICES everywhere in South Africa. Furthermore, as we grow our CSS SERVICES
instruction client base we will be
able to complete CSS SERVICES instructions much faster because
the more instructions we have for debtors in a given limited
geographical area, the more cost effective it is for TFA to meet with debtors in such areas.
When a TFA calls on a debtor to sign an AOD under circumstance
that the debtor has offered an installment that is less than
that stipulated by client (and client has agreed with a DBT to
accept the lesser installment), or if client has not stipulated
the installment the debtor must pay, the TFA will perform the
MAT to CALCULATE WHAT INSTALLMENT THE DEBTOR CAN SUSTAINABLY
approximately 35% of debtors will cooperate with the ALTERNATIVE
METHOD. While it is true that attorneys will lose a portion of
their potential revenue stream as a result:
||in respect of the 35%
of debtors who cooperate with the ALTERNATIVE METHOD:
will be recovered more quickly, which should encourage
creditors to assign a greater volume of collections
instructions to our attorney clients, thus growing their
debt collection practice/division.
Collection instructions will generate cash flow much
faster than if the TRADITIONAL METHOD was used, which
cash flow will be useful especially if our instructing
attorney is accepting large volumes of collection
instructions on a contingency basis.
significant portion of debtors who sign AOD will
default, in which case our instructing attorney can
proceed in terms of the TRADITIONAL METHOD.
benefits that accrue from employing the ALTERNATIVE
METHOD exceed the value of lost revue streams.
instructing attorneys will save on the wasted costs and
time delays caused by Returns of Non-Service when
commencing the debtor collection process using the
It is worth consideration, is it not?
A final motivation for the use of FSG's CSS
SERVICES is appropriate. The appointment of TFA in every Magisterial District means FSG
is creating a significant number of jobs and, since we are sourcing and
training TFA who are persons from previously disadvantaged groups, we
have made our TFA infrastructure our CORPORATE SOCIAL
Consequently, we are adding to our B-BBEE scorecard, and those who use
our CSS SERVICES will consequently add to theirs, under circumstance
that current and anticipated B-BEE legislation has significant
implications for trading in the corporate (and government) sector and
cannot be ignored.
Click HERE to view our
TERMS-CONDITIONS for CSS Services.
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