Top-Rated Debt Collection Agency in Philippines

Fast and reliable debt collection in Philippines - no upfront costs, only pay for success. Request a FREE Consultation or upload your claim today.

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4.97/5 Average rating from 600+ reviews
WHY USE DEBITURA? 

Recovering your debt in the Philippines is easiest through this method.

Debitura focuses on debt recovery in the Philippines, providing a range of services like accounts receivables management, debt collection notices, pre-legal and legal debt collection, and enforcement court proceedings. Our experienced professionals utilize their expertise in Philippine debt collection laws and regulations to provide efficient and effective debt recovery solutions for businesses.

Receive comprehensive support throughout the entire process.

Tailored collection approach.

Our team comprises more than 500 specialized professionals who specialize in international debt collection.

We provide the lowest cost debt collection services with a 87% success rate.

PHILIPPINE LEGAL PARTNERS: Leading Debt Collection Lawyers
UNIT 1 DICTUM BLDG., CRISPINA ST
NARAG LAW OFFICE

Ware are an up and coming 8-year old law that has produced several bar topnotchers already. Our people are well-trained, very professional and highly dedicated. We are retained by more than 20 companies.

Lawsuits
Legal collection
Debt enforcement
9
2015
Law firm
Skyrise 4, Tower B, West Geonzon Street Cebu IT Park, Barangay Apas, Cebu City, Philippines 6000
Upper Class Collections Corp

UCC is an international Australian company which started operations in 2006. We have since grown to include most of ASEAN. We use advanced IT systems and abide by the EU GDPR and Australian and Singapore privacy laws. We are members of the TCM Group and IACC.

Lawsuits
Legal collection
Debt enforcement
2006
Debt collection agency

The ultimate guide about debt collection in Philippines

Are you having trouble getting a business or customer in Philippines to pay you back the money that they owe you? Then you've come to the right place! We have helped many other companies collect debt in the Philippines.

Collecting debt in the Philippines can be difficult due to language and cultural differences, foreign laws, and being far away. But it's easier to do with the help of a debt collection agency that knows the laws and customs of the country.

At Debitura, our main concern is getting you your money back while also trying to maintain a good relationship with the customer. We will take steps to protect your reputation and use fair, but firm methods to get your money back. If you want to learn more about how to collect debt in the Philippines, you can continue reading this guide. Or if you prefer, we can connect you with a local law firm that specializes in debt recovery in the Philippines.

New to debt collection?
The debt collection process can be complex and daunting for those new to it. Our team of experts is here to help you understand the process and navigate it with ease. Get free expert advice on your specific case, provided by our team of experienced professionals.

Debitura offers a straightforward way to collect money that is owed to you in the Philippines and many other countries. All you need to do is upload your claim on our website, and within 24 hours, we will review it and give you three options for local debt collection lawyers in the Philippines that you can choose from. We approach debt collection by trying to maintain a good relationship with the debtor, while also using the latest technology to manage the process. This combination of people-oriented approach and technology-driven solutions is designed to achieve the best results and maintain good customer relationships. We also have a network of partners such as debt collectors, lawyers, and other professional which we have long-standing relationship with , and that allows us to accomplish the job. We value all these relationships and consider them important for our success.

We work with the following process: 
1

Upload claim

Begin your debt collection process in the Philippines today without cost. Simply set up a free profile and upload your case within two minutes.

2

Pre-legal

Our pre-legal recovery process is proven effective for the first 3 months of collecting your claim. We operate on a 100% no-cure-no-pay basis.

3

Legal

If your claim remains unpaid during the pre-legal phase, we offer you three quotes from our nearby debt collection lawyers.

4

24/7 updates

You get access to our online portal where you can track your case in real-time

Introduction to collecting debt in the Philippines

Are you having trouble getting money that is owed to you by customers in the Philippines? Don't worry, we can help make it easier for you.

When trying to collect a debt in the Philippines, the person who owes the money is called the "debtor" and the person who is trying to collect the money is called the "creditor".If the creditor tries to collect the debt by themselves, it's called "first-party collection".If the creditor hires someone else to collect the debt, like a debt collection agency, it's called "third-party collections".

So in this case, we at Debitura provide third-party collection service, we help creditor to collect the debt by outsourcing the collection process to a debt collection agency.

The debt collection process in the Philippines

When trying to collect debt in the Philippines, it is common to have several steps to follow. The picture provided shows the usual order of steps that we use to collect debt in the Philippines.

The debt collection process in Philippines here:

1 Upload your claim:

If you don't want to try and collect your debt by yourself, you'll need to find someone to help you. One way to do this is by finding a company that specializes in collecting debt and giving them your information. A company called Debitura can help with this - they will give you three options for companies in Asia that can help with your specific case, and it won't cost you anything.

2 Amicable collection:

When trying to collect a debt, the process usually starts by sending friendly reminders to the person who owes the money. These reminders can be sent through email, text message, mail, and other ways of communication that are available in that specific country. The purpose of these reminders is to get the person to either pay back the debt or at least acknowledge that they owe it and make a plan to pay it back. Debitura offers a service where you don't have to pay anything if they are not able to collect the debt for you. Instead, you only pay a small fee if we are successful in collecting the debt. This means that using Debitura's service to collect your debt is completely risk-free.

3 Evaluation:

If the person who owe you money still doesn't pay after trying to contact them in a friendly manner, it's time to consider your next steps. Debitura will help you decide what steps to take by considering the amount of money owed, the likelihood of getting paid, and other important factors. There are typically three options to choose from.

A Surveillance:

If the person owe you less than a certain amount of money, like 2000$-5000$, it usually is not worth it to take more serious legal actions. In this situation, Debitura suggest "debt surveillance" instead, which means they will keep trying to contact the person who owes you money and try to come to an agreement on how to pay the debt.

B: Legal collections:

If the amount of money you are trying to collect is large, we suggest starting a legal process to get it back. The steps required will vary based on the type and size of the claim. Usually, it will take around a year and a half to finish the process.

C: Debt enforcement:

If the person who owe you money has agreed that they owe the debt or a judge has ordered them to pay, you can ask the court to enforce the order using a bailiff.

5-star user rating5-star user rating5-star user rating5-star user rating5-star user rating
"Thanks to Debitura, we were able to recover our overdue debts without any hassle. Their debt collection services in Philippines were top-notch, efficient, and cost-effective. We highly recommend their services."
John Reyes - Accounts Receivable Manager
5-star user rating5-star user rating5-star user rating5-star user rating5-star user rating
"Debitura's debt recovery services in Philippines have been incredibly efficient and professional. They took on our case with determination and successfully collected our outstanding debts. Highly recommend!"
Rosalie Santos - Accounts Receivables Specialist.
4.97/5
Average rating based on feedback from over 600 satisfied clients
87%
Average debt recovery rate, exceeding industry standards
100M+
Debt recovered for our clients in the past 18 months

Amicable collection in the Philippines

At Debitura, we offer a service to help you collect debt in a risk-free and efficient way. All you have to do is give us your information about the debt, and we will begin the process within 24 hours.

We will try to contact the person who owe you money through various ways of communication like email, text message, mail and social media that are available in the Philippines. The goal is to either:

A) get the person to pay the full amount or
B) Agree to pay the debt back in installments.

If the debtor disputes that they owe the money, then amicable resolution cannot be pursued and legal collections process should be initiated.

Get started with
amicable debt collection

Upload your claim and get started with our 100% no-cure-no-pay collection solution.

100% free
Get the best price
No-cure-no-pay
Fast collection process
High recovery rate
100%
Risk free
Upload claim!

Debt enforcement in the Philippines

If you have a written statement from the person who owes you money saying they owe it or an official court document saying they owe you, you can use a government office called the bailiff's court in Philippines to make them pay you the money in Philippines.

The steps and money involved for getting help with your case can be different depending on your situation. If you want to find out more about what it will cost, you can upload information about your case on Debitura. We will then give you 3 detailed quotes for how much it will cost for lawyers to help you within 24 hours.

Get started with
debt enforcement

Upload your claim and get 3 FREE quotes from our local collection partners.

100% free
Get the best price
No-cure-no-pay
Fast collection process
High recovery rate
100%
Risk free
Upload claim!

Philippines country risk profile

We have examined Philippines's critical financial data and extrapolated a risk assessment. You can use this analysis to classify your payment terms and manage your risk when trading with customers in Philippines.

Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26

Our analysis has shown that the risk of running a business in Philippines is medium-low. Based on this medium-low score, we recommend being careful providing credit and considering charging upfront payment or using credit insurance when trading if you don't know the customer in Philippines well. If possible, provide a short credit period or even better upfront payment. The medium-low risk score is based on the following factors:

Economic Risk:
3
Economic Risk:
3
Economic Risk:
3
Economic Risk:
3
Economic Risk:
3
Economic Risk:
3
Business Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Commercial Risk:
2
Commercial Risk:
2
Commercial Risk:
2
Commercial Risk:
2
Financing Risk:
2
Financing Risk:
2
Financing Risk:
2
Financing Risk:
2

The economic risk in Philippines

Our analysis shows that the economic risk in Philippines is medium (3 out of 6). An economic risk of 3 out of 6 is low in Asia.

GDP and economic growth are critical drivers for economic risk.
The GDP of Philippines is 394,09 bn. USD (2021), growing by 5,7% per year.

In terms of the size of its economy, Philippines ranks #37 out of 183 countries and has a large economy.

Looking at the growth rate, it is ranked #66 out of 183 countries and is therefore considered a fast-growing economy.

GDP per capita is 3549 USD, ranking Philippines number #115 out of 183 countries. This means the purchasing power of citizens in Philippines is average compared to the rest of the world.

You can see a more detailed picture of GDP and economic growth in Philippines in the table below:

GDP and economic growthLatest value
Economic growth: the rate of change of real GDP5,7%
Gross Domestic Product, billions of U.S. dollars394,09
GDP per capita, current U.S. dollars3548,83
GDP per capita, Purchasing Power Parity8301,23

Another big impact for the risk score is the inflation rate and the interest rates. You can see a more detailed picture of monetary KPIs in Philippines in the table below:

Monetary KPI'sLatest value
Inflation: percent change in the Consumer Price Index3,9%

The inflation in Philippines was 3,9% in 2021 which is considered a low inflation rate.

The business environment risk in Philippines

Our analysis shows that the business environment risk in Philippines is medium-high (4 out of 6), which is a pretty average risk score in Asia.

Economic freedom and rights determine the business environment risk in a country. Take a look at the important facts for Philippines in the table below:

Economic freedom indexLatest value
Property rights index (0-100)57
Freedom from corruption index (0-100)41
Fiscal freedom index (0-100)77
Business freedom index (0-100)58
Monetary freedom index (0-100)68,7
Trade freedom index (0-100)74
Investment freedom index (0-100)60
Financial freedom index (0-100)60
Economic freedom, overall index (0-100)64

As you can see in the table, the property rights index is 57 in Philippines, which is considered quite low in Asia.

The business freedom index is based on 10 indicators, using data from the World Bank’s Doing Business study. The Index is 58 in Philippines, a quite low score for a country in Asia.

Philippines's overall economic freedom index is 64 out of 100 and is based on factors such as the rule of law, regulatory efficiency, and market openness.

The political risk in Philippines

The political risk in Philippines is medium-high, with a score of 4/6. This is a pretty average political risk score in Asia.

The governance and political stability indicators are important drivers for political risk. An overview of Philippines can be seen in the table below:

Governance and political stability indicators Latest value
Rule of law index (-2.5 weak; 2.5 strong)-0,64
Government effectiveness index (-2.5 weak; 2.5 strong)0,07
Control of corruption (-2.5 weak; 2.5 strong)-0,51
Political stability index (-2.5 weak; 2.5 strong)-0,93
Corruption Perceptions Index, 100 = no corruption33
Shadow economy, percent of GDP28,04%

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 doing business in a country, the rule of law index is critical as it describes your ability to enforce commercial contracts.

In Philippines, the rule of law index is at -0,64 points, with the score going from -2.5 (weak) to 2.5 (strong). Philippines has, therefore, a very low rule of law index, which means it is often close to impossible to enforce your contracts. We, therefore, recommend avoiding credits and recommend charging upfront payment instead.

Other drivers for the medium-high political risks are the very weak control of corruption, the very weak political stability index, and the large shadow economy that is 28,04% of Philippines's GDP.

The commercial risk in Philippines

In Philippines, the commercial risk score is 2/4, which in our model is a low score. This low commercial risk score is pretty average compared to the average in Asia.

The commercial risk is impacted by a country's international trade relationships. You can see some of the key facts for Philippines in the table below:

International trade and investment Latest value
Exports of goods and services as percent of GDP25,74%
Exports of goods and services, annual growth7,97%
Imports of goods and services as percent of GDP37,76%
Trade balance as percent of GDP-12,02
Trade balance, billion USD-39.61
Foreign exchange reserves, billion currency units108.75

Philippines has a foreign exchange reserve of 108.75 bn. USD.

Philippines has a negative trade balance of -12,02% of GDP. This means that Philippines imports more goods and services than the country exports.

The annual growth of exports of goods and services has been growing 7,97% annually - now 25,74% of GDP. Import of goods and services represents 37,76% of the GDP in Philippines.

The financing risk in Philippines

We have calculated the financing risk to be 2/4, which equals a low risk. A low financing risk score is relatively low for countries in Asia.

The country's banking system, efficiency, and stability influence the financing risk. You can find the extra information for Philippines in the table below:

Banking system efficiency and stabilityLatest value
Index of legal rights for creditors and borrowers (0 = weak to 12 = strong)1
Credit information sharing index, 0 (low) - 8 (high)7

In Philippines, the credit information sharing index is 7 on a scale from 0 (low) to 8 (high). This means the accessibility and quality of credit information available in Philippines is medium-high.

This makes it easy for you to understand the credit risk of your counterpart in Philippines. 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 rights as a creditor are 1 out of 12 and, therefore, very weak.

Debt collection in the Philippines: Frequently Asked Questions (FAQ)

How does debt collection work in Philippines?

In the Philippines, debt collection involves the creditor trying to get the debtor to pay back the money they owe either through first-party or third-party collections. Debitura provides a risk-free third-party collection service. The debt collection process typically involves amicable collections, evaluation, surveillance, legal collections, and debt enforcement. Debitura can help assess which path to take based on the amount owed, the likelihood of getting paid, and other factors. They offer a free evaluation and won't charge until they successfully collect the debt.

What is the debt collection process in Philippines?

The debt collection process in the Philippines typically involves three steps: pre-legal collection, legal debt collection, and debt enforcement. Pre-legal collection involves sending friendly reminders to the debtor. If the debtor still doesn't pay, legal action may be necessary. For small amounts, debt surveillance may suffice. For larger amounts, legal action may be required, which typically takes about a year and a half to complete. If the debtor acknowledges the debt, you can ask the court to enforce the order with a bailiff. Debitura can help you navigate this process with its risk-free debt collection service.

What legal options exist for debt collection in Philippines?

In the Philippines, if a debt is disputed, a civil lawsuit may be required for legal collection. Debt enforcement and insolvency proceedings are also available options. It's important to note that legal actions require the assistance of a local lawyer, who can help make a deal or go to court to obtain an official payment order. Debitura can help find 3 lawyers and compare quotes for the best deal.

How much does debt collection cost in Philippines?

Debt collection costs in the Philippines vary depending on the case and desired actions. At Debitura, our pre-legal collection offers a no-cure-no-pay model with a success fee between 10-20%. For legal action, we can provide you with 3 quotes from the best debt collection lawyers in the Philippines. Contact us to discuss your specific case and get a tailored solution that meets your needs.

How long does debt collection take in Philippines?

The length of time it takes for debt collection in Philippines varies depending on the debtor and the case. If it can be resolved in the pre-legal phase, it typically takes 3-6 months. However, if legal action is required, it can take longer - usually around 12-18 months.