In today’s economy getting paid the money you are owed from customers or clients has never been more important.
And trying to collect what you are owed by yourself is time consuming and frustrating. To make matters worse, the longer you wait to collect on a debt the less chance you have of receiving payment.
This is why you are better off hiring a debt collection company than trying to collect outstanding payments on your own.
Here are four things to consider before you hire a debt collection company.
Four tips for choosing a debt collection agency
In no particular order those tips are:
- make sure the agency is licensed
- understand their fee structure
- ask about their collection methods
- check the companies track record for working with companies like yours
It’s important that you only work with a licensed debt collection company.
Debt collection is governed by certain laws — and if you hire a non-legitimate agency, you’ll be the one liable if they break these laws. Harassment is a serious offense and can cause you a huge sum of money in fines and penalties.
Make sure that they are licensed for both your and your debtor’s state.
It’s simple to know that collection laws vary from state to state. You also need to ask about their insurance so that the money collected on your behalf will be secured and legally protected.
I’m a firm believer that collecting something is better than collecting nothing.
With that said, it’s important to understand what the overall rates and fees will be before you decide to work with any particular debt collection company. Many companies will only charge you a fee if they are able to collect on your past due accounts.
Next, you’ll want to know which collection methods they will use when contacting your customers or clients.
Why is that?
Because some agencies will represent you when they attempt to collect outstanding payments.
Finally, you’ll want to ask about their track record when it comes to working with companies like yours. Some collection agency specialize in the medical or dental fields while others focus on B2B collections.
With that said, any reputable company should be able to offer you case studies to review as well as sharing their track record when it comes to collecting on behalf of their clients.
Verify their previous experience with other clients and parties because debt collection is a business where experience matters a lot.
Find a collection agency today
To find the right collection agency for your business click the link below and get your free quotes from qualified and reputable companies…
Click and compare free collection agency quotes today.
After all, you really only have two choices:
- you can keep doing what you’re doing (and hope for a different result), or
- you can hire an outside company to help you collect the money you rightfully deserve.
Use the link above for your free quotes, or click to find commercial collection agencies for your State or Metro area that can help you recover lost revenue starting today.
Either way the choice is yours…