Commercial Debt Collection Agency

Why Use a Commercial Debt Collection Agency?

Some companies make the error of attempting to collect outstanding debts owed by account holders using internal resources, and this is inadvisable. If inexperienced employees are used to pursue debts, attempts may easily be unsuccessful, whereas a commercial debt collection agency which specializes in collecting payments for accounts and bad checks will know just how much pressure to apply as well as which methods work best for inspiring customers or clients to settle their debts more quickly.

A Commercial Debt Collection Agency and Factoring

It is important to make the distinction between credit factoring and commercial debt collections. In credit factoring, future receivables (I.E. funds which are to become available to your company at a later date) are bought outright by a third party. Account payments can also be purchased. A commercial debt collection agency collects money on your company’s behalf, and will either charge a retainer fee of some description or else will charge a commission on money recovered.