While few are thrilled to receive a call from a debt collection agency – just as few people are ever happy to be in debt – there's reason to hope that if you do find yourself in debt, your name winds up on a list belonging to a reputable debt collection agency and not a rogue law-breaker.
For companies who have debts owed to them and contract with third-party debt collection agencies, it's in their very best interest to ensure the company they turn their business over to is reputable, experienced, skilled and follows both laws and ethics.
So what are some of the hallmarks of a truly high-quality debt collection firm?
According to blogger Patrick Peterson on PressReleaseSubmit.com, one of the characteristics of a good debt collection firm is the speed at which the company moves to collect debt, since old debt is more likely to be bad debt, and costs businesses to recover it.
“Successful debt collection begins with instant action. It truly is never ever an excellent notion to wait more than 90 days to begin wanting to recover debt on past-due accounts,” he wrote. “This really is where a fantastic collection agency comes into play. The agency will right away start communications along with your debtor by way of phone calls and mailed letters.”
A good debt collection firm will also have skill and resources in finding people, since debtors frequently don't want to be found.
“These agencies have high-tech laptop systems which will trace people today who have disconnected their phones or altered their address,” Petersen added. “If they’re nonetheless unable to collect after these efforts, a collections lawyer is usually asked to take on the case. [More] times than not, an attorney can recover funds as the debtor does not want any legal suit brought against him or her.
Be sure the agency is using the latest technologies as well, and for extra insight into the process, find a debt collector that will allow you to have unrestricted insight into the debt collection process via reporting.
Lastly, of course, it's important to connect with a debt collection company that has no history of abusive practices or legal action, and sticks strictly to the rules outlined in the Fair Debt Collection Practices Act.
Edited by Braden Becker