Tuesday, April 13, 2010

Collection Agent

Hiring an External Collection Agent

It can be problematic for businesses to use internal collection agents when attempting to recover bad debts, as making direct contact with debtors can cause debtors to dig in their heels, as if they feel that they are being harassed by the company to which they owe money they are less likely to be cooperative. Hiring an external collection agent is an excellent idea, since an independent collection professional will have some personal distance to the situation, and will also know which methods are effective.

Collection Agent Services

A collection agent can provide a number of services. Collection agencies frequently call debtors, and telephonic contact alone is sometimes successful. A good collection agent can also pursue face-to-face contact with debtors, and this is especially effective. A collection agent can analyze individual debt situations in order to determine whether certain debts are collectible or not. A collection professional can collect past-due account payments and other types of debt including bad checks.