Top-Rated Debt Collection Agency in Canada
Fast and reliable debt collection in Canada - no upfront costs, only pay for success. Request a FREE Consultation or upload your claim today.

Recovering your debt in Canada is easiest using this method.
Debitura specializes in debt recovery in Canada, offering a comprehensive range of services through our team of experienced professionals. Our expertise includes accounts receivables management, debt collection notices, pre-legal and legal debt collection, and enforcement court proceedings. We possess a thorough knowledge of Canada's debt collection laws and regulations, allowing us to deliver efficient and effective solutions to help businesses recover outstanding debts.

We provide unwavering support from the beginning to the end.

Tailored debt recovery approach.

We have a team of over 500 professionals with expertise in international debt collection.

Our debt collection services boast a success rate of 87% while maintaining the lowest cost possible.
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The ultimate guide about debt collection in Canada
Are you looking for reliable debt collection services in Canada? Look no further!
We have assisted hundreds of companies recover what's theirs. Recovering a debt from another country can be challenging, considering the distance and language barriers involved. But by working with a knowledgeable collection agency that understands foreign laws and customs, the process becomes much more straightforward. Make sure to choose an experienced team ready to help protect your financial rights—we've got you covered!
At Debitura, we prioritize people and aim to obtain your money back without ruining the customer relationship. Our public relations efforts are fair but firm- safeguarding your reputation is our utmost priority! Read further if you intend to collect debt yourself and gain knowledge of Canadian debt collection process in its entirety. If a local law firm specialized in retrieving debts suits you better, don't hesitate -we're here for assistance!
With Debitura, reclaiming your debt is easier than ever! Get started today by uploading your claim through our simple platform. We'll assess and review within 24 hours so you can receive three free quotes from legal professionals in Canada and +200 other countries. Take the first step to getting back what's yours - begin with Debitura now! Our people-first approach combined with the most cutting-edge, tech-enabled solutions is guaranteed to yield excellent returns while still preserving customer relations. What's more, our debt collectors, attorneys and vendors are cherished connections that give us the leverage we need to get results. We recognize just how valuable each of these business ties are—no matter their size or scale.
Upload claim
Begin the debt collection process in Canada today without any cost by making a free profile and submitting your case in just 2 minutes.
Pre-legal
During the initial 3 months, we will attempt to recover your debt using our effective pre-legal recovery method. You don't pay unless we succeed in collecting your debt.
Legal
If your claim remains unpaid during the pre-legal process, we will obtain three quotes from our local debt collection attorneys for your assistance.
24/7 updates
You get access to our online portal where you can track your case in real-time
Introduction to collecting debt in Canada
Struggling to get paid by your Canadian customers? We understand – that's why we make collecting debt in Canada a breeze. Generally, the debtor is the party who owes money and the creditor is whoever issued them an invoice or loan. If you collect on debts yourself, it's known as first-party collection; however, if you enlist help from another third-party entity for collections - henceforth referred to as “third-party collections”– success will be much easier!
- Although domestic companies have generally good payment habits, the law does not stipulate any standard payment terms or simplify debt collection processes. This means that late payments as well as costs related to interest and collections are left for both parties to negotiate in their contractual agreement.
- Despite its complexity due to federal and regional regulations, Canada offers a swift and effective judicial system. Yet even though contractual ownership protection is widely accepted in many countries, Canadian courts don't recognize this type of mechanism.
- Insolvency law offers a range of advanced legal tools, yet their effectiveness in recouping unsecured debt is marginal. Hence, pre-legal action should be weighed as the superior choice when it comes to collecting debts.
Days Sales Outstanding (DSO)
In Canada, the payment culture is outstanding. The law may not guarantee a set of uniform payments terms, but normally transactions are completed within 30 days or less while delays rarely happen and last no longer than 10 days at most. Notably, for listed companies in the country their DSO has slightly increased over recent years though still remains reasonable low.
Corporate Structures: A Closer Look.
Depending on the legal structure of your business, you may be held liable for various debts. Below is a description of how each type determines liability:
- Sole Proprietorship is the go-to for small operations since it's based on one person alone. That individual then has personal ownership of all business assets and a complete legal obligation to any activities or debts incurred by their venture. This assurance ensures that every single asset remains safe, secure, and under your control as an owner.
- Partnership is an alternate means of conducting business without forming a corporation: partners join their resources and divide profits, but are also responsible for any debts incurred by the partnership. On the other hand, Limited Partnerships provide some degree of protection when one partner does not wish to be involved in managing the company's operations.
- Incorporation creates a legal entity distinct from the proprietors and shareholders. In the absence of fraud or negligence, they can't be held liable for business activities or debts. Furthermore, if the company fails to uphold good standings, its corporate status is revoked leading creditors to have direct access to pursue after shareholders.
The debt collection process in Canada
The debt collection process in Canada is comprised of multiple steps, each carefully designed to resolve the issue.
The image below explains the process that we usually follow to collect debt in Canada:

1 Upload your claim:
Unless you want to get your money back yourself, you will need to find a company that collects debts. You will give them information about the money you are owed, and they will try to get the money for you. If you use Debitura, we will give you three different companies that collect debts in North America. This is free - there is no extra charge.
2 Amicable collection:
The collection process typically begins with sending reminders to your debtor via email, SMS, letter and other communication channels in the specific country. The goal is to get the debtor to pay or acknowledge the debt and start a payment plan. Debitura offers a no-cure-no-pay solution for amicable collection, where you only pay a small success fee if we recover your debt. Amicable collections with Debitura are 100% risk-free!
3 Evaluation:
If the person you lent money to has not paid you back after you talked to them, it is time to figure out what to do next. We will look at how much money you are owed, the chance of getting paid back, and other things to help you decide what to do. There are three typical next steps:
A: Surveillance:
If you owe someone less than 2.000-5000€, it is not worth it to take legal action. In this case, we recommend "debt surveillance". This means that we will keep trying to contact the person you owe money to and try to reach an agreement.
B: Legal collections:
We suggest beginning a legal procedure for bigger complaints. The steps you need to take will vary depending on the kind and amount of your claim. Usually, it takes about a year and a half to finish the whole process.
C: Debt enforcement:
If the person you are trying to get money from has said that they owe you money, or if there is a court order, you can go to the bailiff's court to get your money.
Debitura is the perfect solution for anyone looking to quickly and efficiently complete all three steps required here in Canada.
Amicable collection in Canada
Debitura is proud to offer a comprehensive and risk-free process for Amicable collections that guarantees maximum efficiency. All you have to do is submit your claim - it will be processed within 24 hours!
To contact your debtor, we'll employ all feasible channels in Canada, such as e-mailing, text messaging, writing letters and postcards, calling them on the phone and using social media.
This process is organized to:
A) Secure complete payment from the debtor or
B) Reach an agreement with the debtor to set up a payment plan towards acknowledging their debt.
If the debtor has raised a dispute regarding your claim, you must bypass friendly resolution and start with legal collections right away.
Late payment interest
Interest and collection costs can not be added to an outstanding debt without prior agreement. Therefore, it is essential for contracts to include a clause permitting the charging of interest on delinquent payments as well as any collection costs incurred. In reality, these charges are often applied in order to encourage prompt payment from debtors.
Get started with
amicable debt collection
Upload your claim and get started with our 100% no-cure-no-pay collection solution.
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Legal collection in Canada
If your claim has not been compensated for during the amicable phase or if it's disputed, we've got you covered. We will provide 3 free quotes from our local debt collection attorneys to assist in resolving the issue. Our partners can reach out to your debtor and attempt to come up with a resolution through negotiation. Should that fail, they can then pursue legal action by obtaining a payment order via court proceedings in Canada which can be used as evidence of enforcement when taking them back into court again.
Ordinary proceedings
Canadians can seek remedy through 'small claims' proceedings for debts that are exact and undisputed. Each Canadian province has its own threshold, ranging from CAD 8,000 (Prince Edward Island) to as much as CAD 25,000 (approx. EUR 17,000 - Saskatchewan). Whether an attorney must be present during the small claim process depends on the locality. Fast track proceedings do not exist in Canada but many provinces offer alternative solutions with a range of limits!
When all other efforts at debt collection have failed, a Writ of Summons (bref d’assignation) must be served to the debtor. The document will briefly outline the claim and declare that they are in default should they not appear within 14 days for proceedings or fail to present defence. If such is their course of action, then a judgment without trial may occur by way of Default Judgment due to its acceptance as truth. Nonetheless, if substantial proof can be provided demonstrating legitimacy in the counterclaim, this judgement could possibly be reversed under certain conditions.
Before they come to a decision, the court will initiate an amicable settlement conference. During this phase of mediation, evidence and testimonies from both parties (and any potential witnesses) will be presented during the Examination for Discovery session.
Canadian courts habitually order remedies such as monetary damages, specific performance, declaratory relief and punitive damages to resolve disputes.
Canada has an efficient and reliable judicial system, even though it can be complex due to the various regulations that apply in its ten provinces and three territories. Typically, Quebec follows Civil Law as stated by the 1994 Civil Code; however all other regions are subject to Common Law.
According to the Constitution Act of 1867 (revised in 1982), judicial power is divided into federal and provincial levels. Federal Courts are trusted with matters such as administrative proceedings, intellectual property, maritime law cases, bankruptcy claims and more.
Every province is in charge of justice services and business disputes are addressed as a general ruling before Provincial or Superior Courts, depending on the amount being disputed. The Court of Quebec comprises numerous divisions which specialize in various issues. For instance, small claims up to CAD 25,000 (roughly EUR 17,000) are heard by these courts.
When it comes to legal fees, the costs can be daunting. Get ahead of the game and get multiple quotes with just a few clicks by using Debitura; that way you can compare different attorneys for an unbeatable price! Don't let the complexity or size of your claim affect your budget - ensure you're getting great value today.
Get started with
legal debt collection
Upload your claim and get 3 FREE quotes from our local collection partners.
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Debt enforcement in Canada
For Canadian enforcement of your claim, you can rely on the bailiff's court if you are in possession of a written admission from the debtor or have obtained a ruling by the court.
After all avenues of appeal have been exhausted, a judgment becomes final and can then be enforced. Canadian courts are swift in doing so; however, finding the debtor's assets may prove to be the most strenuous task. To ensure compliance with their verdict, they will often issue Writs of Seizure & Sale or Garnishment Orders if need be. Examinations In Aid Of Execution (EIAO) could also help in discovering what property and financial resources the defendant holds should it become necessary. It must still be noted that judgments do not last forever - ten years is usually how long one has before legal action for enforcement ceases due to statutes of limitation expiring.
No two cases are alike, and that means the exact process and associated cost will vary. Submit your case to Debitura now for 3 tailored quotes in just 24 hours - perfect for those who need a quick resolution!
Get started with
debt enforcement
Upload your claim and get 3 FREE quotes from our local collection partners.
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Insolvency proceedings in Canada
If your debtor is unable to settle their obligations, the last resort available to you is a bankruptcy procedure. The intention of this course of action is to dissolute the debtors' possessions and allocate them equitably amongst lenders following standard debt placement guidelines.
- The law provides for no out-of-court proceedings in Canada.
- A debtor facing temporary financial difficulties is entitled to present a restructuring proposal to the creditors under the BIA, which if accepted by the Superior Courts, will result in a stay on all enforcement proceedings for a maximum period of six months.
- If each class of creditor and the court do not approve the proposal, then the debtor has no choice but to file for bankruptcy.
- A similar procedure exists under CCAA, with a monitor being appointed to oversee debtor’s restructuring who reports back to court periodically; however failure to reach an agreement does not lead automatic liquidation as it might under BIA. This whole process may last for years instead of months.
- Two separate proceedings are available: receivership and liquidation--both with their own distinct procedures that must be followed by creditors looking realize debts from sale of debtors' assets .
The analysis is concluding that the risk of conducting business in Canada is low. Based on this low score, You can feel reasonably confident that you will be able to get paid when trading with customers in Canada. Nonetheless, we always recommend doing a specific credit analysis on an individual customer basis before offering any credit. The low risk score is based on the following factors:
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The economic risk in Canada
Our analysis shows that the economic risk in Canada is very low (1 out of 6). An economic risk of 1 out of 6 is low in North America.
GDP and economic growth are critical drivers for economic risk.
The GDP of Canada is 1990.76 bn. USD (2021), growing by 4.56% per year.
In terms of the size of its economy, Canada ranks #10 out of 183 countries and has a large economy.
In terms of growth rate, it is ranked #89 out of 183 countries and is therefore considered an excellent growing economy.
GDP per capita is 52051 USD, ranking Canada number #16 out of 183 countries. The result of this is purchasing power of citizens in Canada is high compared to the rest of the world.
You can see a more detailed picture of GDP and economic growth in Canada in the table below:
Another critical driver for the economic risk score is the inflation rate and the interest rates. You can see a more detailed picture of monetary KPIs in Canada in the table below:
The inflation in Canada was 3.4% in 2021 which is considered a low inflation rate.
The business environment risk in Canada
Our analysis shows that the business environment risk in Canada is very low (1 out of 6), which is a low risk score in North America.
Economic freedom and rights has a big influence on the business environment risk in a country. You can see the critical facts for Canada in the table below:
As you can see above, the property rights index is 85 in Canada, which is considered good in North America.
The business freedom index is based on 10 indicators, using data from the World Bank’s Doing Business study. The Index is 81 in Canada, a good score for a country in North America.
Canada's overall economic freedom index is 78 out of 100 and is based on factors such as the rule of law, regulatory efficiency, and market openness.
The political risk in Canada
The political risk in Canada is very low, with a score of 1/6. This is a low political risk score in North America.
The governance and political stability indicators are critical drivers for political risk. An overview of Canada can be seen in the graphs below:
The rule of law index analyses to which extent agents have confidence in and abide by the rules of society, in particular the quality of contract enforcement, property rights, the quality of the courts, and the police's ability to enforce court orders.
When transacting business in a country, the rule of law index is critical as it describes your ability to enforce commercial contracts.
In Canada, the rule of law index is at 1.63 points, with the score going from -2.5 (weak) to 2.5 (strong). Canada has, therefore, a very high rule of law index, which means you have a very good chance of enforcing your contracts. If your individual customers have good creditworthiness, you should therefore feel relatively safe when providing credit.
Other drivers for the very low political risks are the strong control of corruption, the average political stability index, and the small shadow economy that is 9.42% of Canada's GDP.
The commercial risk in Canada
In Canada, the commercial risk score is 2/4, which in our model is a low score. This low commercial risk score is relatively low compared to the average in North America.
The commercial risk is relying on a country's international trade relationships. You can see some of the key facts for Canada in the table below:
Canada has a foreign exchange reserve of 106.62 bn. USD.
Canada has a positive trade balance of 0.16% of GDP. This means that Canada imports fewer goods and services than the country exports.
The annual growth of exports of goods and services has been growing 1.37% annually - now 30.69% of GDP. Import of goods and services represents 30.54% of the GDP in Canada.
The financing risk in Canada
We have calculated the financing risk to be 1/4, which equals a very low risk. A very low financing risk score is low for countries in North America.
The country's banking system, efficiency, and stability influence the financing risk. You can find the critical facts for Canada in the table below:
In Canada, the credit information sharing index is 8 on a scale from 0 (low) to 8 (high). The result of this is accessibility and quality of credit information available in Canada is high.
This makes it easy for you to understand the credit risk of your counterpart in Canada. You should therefore be able to find a good local credit rating agency that can help you analyse the creditworthiness of your specific customers.
Your juridical rights as a creditor are 9 out of 12 and, therefore, strong.
Debt Collection in Canada: Frequently Asked Questions (FAQs)
Debt collection in Canada involves multiple steps with the goal of resolving the issue. The process starts with sending reminders to the debtor to pay or start a payment plan. If unsuccessful, the next steps depend on the amount and type of claim. The options include: debt surveillance, legal collections, and debt enforcement. The law doesn't stipulate standard payment terms, but the payment culture is good with transactions completed within 30 days or less. Companies have legal entities that protect owners from business debts, while sole proprietorships make owners personally liable for business debts.
The debt collection process in Canada involves pre-legal collection, legal debt collection and debt enforcement. First, a debt collection company is chosen and reminded to pay. If unsuccessful, the next step is to evaluate the debt and decide to surveil, take legal action or go to the bailiff's court. Debitura offers a free service for choosing a collection company, as well as no-cure-no-pay amicable collections, to help you recover your debt quickly and efficiently.
Debt collection in Canada can involve legal options such as civil lawsuit for disputed debts, debt enforcement, and insolvency proceedings. Local lawyers are needed for legal actions. Small claims procedures exist depending on the locality for debts that are exact and undisputed. In case of financial difficulties, debtors can present restructuring proposals to creditors under BIA or CCAA. Two separate proceedings are available: receivership and liquidation. Canadian courts provide remedies such as monetary damages, specific performance, declaratory relief and punitive damages to resolve disputes. Using Debitura, users can compare different attorneys for an unbeatable price.
The cost of debt collection in Canada can vary depending on the specific case and desired actions. At Debitura, we offer a no-cure-no-pay model for pre-legal collection with a success fee between 10-20%. For legal actions, the price varies per case. Fortunately, Debitura can provide you with 3 quotes from the best debt collection lawyers in Canada to help you make an informed decision.
The length of debt collection process in Canada varies depending on the debtor and the case. If the case is resolved in the pre-legal phase, it typically takes 3-6 months. However, if legal actions are necessary to collect the debt, the process typically takes 12-18 months. The time frame ultimately depends on the complexity of the case and the debtor's willingness to pay.