Commercial Collection Agency..
If you’re a business person trying to recover your debts, finding an effective, affordable and trustworthy debt collection agency can be a challenging task. With countless collection agencies of varying size and experience out there picking the wrong one can cost you hundreds, thousands, and quiet easily tens of thousands of dollars both in lost collections as well as in deceptive collection fees and commissions.
However, there are 3 powerful secrets to finding the right debt collection agencies that when you set to work for you personally will save you a bunch of money as well as recover much more of your financial obligations faster… all without exposing you to definitely the usual headaches and frustrations that so frequently choose debt collection.
So revealing are these 3 insider questions that only a fool would pick a collection agency without first asking these three questions. In order of increasing importance, here then are the 3 questions that empower one to quickly and accurately sort the diamonds from the dust.
Insider Question #1: “Do You Guarantee Collection Of My Debts?”
Most agencies will state that no collection means no commission. Don’t be fooled. This can be NO guarantee of collection but instead a transparent ploy of deception.
In fact when you go using these agencies you’re usually the one risking everything. No matter whether they collect your debt they’ll still charge an upfront fee for pursuing the debt. So furthermore you end up without any money recovered, you also have to fund their inability to recover your cash. So you end up losing twice whilst they come out with cash in their pockets.
What you want is actually a guarantee that this money you invest using the agency will actually bear a return by means of a collected debt. Bottom line: never handle a collection agency that won’t guarantee collection of your financial obligations.
Insider Question #2: “How Will You Handle Disputed Debts?”
Make no mistake.. this one’s a biggie. In a ruthless effort to get free from pay their accounts more and more debtors falsely dispute their debt. And the thing that makes this dirty tactic so powerful is the fact that almost without exception debt collection agencies will either refuse to have anything concerning disputed debts OR they’ll charge exorbitant fees.
But seeking to sort out a dispute by yourself, even whether its blatantly fraudulent, is as financially crippling as it is emotionally infuriating. The legal costs alone can very rapidly dwarf the dimensions of the unpaid account.
Fortunately you can find a handful of collection agencies that are geared to manage disputes on your behalf at no additional charge. That’s why it’s imperative that before you sign any agreement having a prospective debt collection agency you obtain them to verify exactly how they handle disputed debts.
Take home message: only cope with debt collection agencies that have systems set up to handle both genuine and bogus disputes without charging you extra for it. As I say, this can be a biggie.
Insider Question #3: “Would You Charge A Commission On Collection From Day 1?”
From the three insider questions to ask, this one is quite possibly the most crucial. Granted, on the surface charging a commission on collection may not sound so bad. However, as you’re about to see charging a commission on collection from day 1 slaughters your chances of getting back all the money that’s rightfully yours.
Here’s why. If you lack adequate terms of trade and they are prone to pay collection costs, any money that’s collected as your representative is going to be significantly whittled through the commission on collection. On recovering your money debt collection agencies that charge commission from day one can skin between 20% to 40% right from the top. No matter how you fuovco at it that’s a huge price to cover to get back the cash that’s rightfully yours.
Alternatively, where you can legally pass on all collection costs for your debtor you might be forgiven for thinking all is sweet… it’s the debtor who gets slapped with the commission while you get to keep all money owed for you.
However, what usually ends up happening, stung with 20% to 40% a lot more than what they originally owed you these debtors form bogus lies to dispute your debt in an effort to avoid paying it.
Net result: even though it’s your debtor who gets stung with all the collection costs, it’s you who ultimately misses out as you neglect to recover most of your debts. It’s because of this that you need to absolutely refuse to handle any collection agency that charges a commission from day one, especially if they don’t charge a 1-off fixed fee and even much more when they don’t guarantee collection.