Tag Archives: tips on hiring a collection agency

skip trace

Going The Extra Mile To Collect Debt | Skip Trace

Using an exclusive recovery method, also known as Skip Trace, Rapid Recovery Solution implements several reputable techniques to pinpoint the location of your debtor. If you are having a difficult time tracking down a missing defaulter, our debt collection agency can help. Not only does the Skip Trace process optimize detection and location, but our exclusive debt collection methods follow four critical steps to ensure the most potential for payment acquisition.

Through professional communication, negotiation, and legal action, Rapid Recovery Solution is devoted to your case. After all, we do not retain a service fee unless we effectively succeed in obtaining your unpaid accounts.

debt collection regulation

The Importance of Laws and Regulations in Debt Collection

Are you properly protecting your business from lawsuits and debt collection scams? You may have made sure that your accounts receivables department operates within the law, but you also need to make sure any outside services you use are fully prepared to remain compliant with laws and regulations. The importance of this cannot be stated enough, and any debt collection agency that is unclear about compliance should be avoided.

Regulations vary by area, and it is important to do your research before hiring a collection agency. Ask the agency if they are licensed (if required by your state), if they can pursue debt collection cases over state and country lines, and what kind of legal counsel they have available. While lawsuits over debt collection cases are rare, it is always worth it to be prepared and partner with collection agencies that reduce your liability as much as possible.

Rapid Recovery Solution employs in-house attorneys and a network of legal professionals to ensure compliance with legal codes in every U.S. States and many countries. Contact RRS or explore the website to discover more about how debt collection can be risk-free.

accounts receivable collection

Where to Turn? Overwhelmed Businesses Rethink Debt Collection

It’s not uncommon for account receivables departments to encounter bad debt collection cases and unreachable delinquent parties. The longer a sum goes unpaid, the more it costs in terms of labor and time, and the chance of successful recovery becomes less and less. It is advisable for accounts receivable departments to devise guidelines for referring debt collection cases to commercial debt collection agencies before the costs become too great and recovery chances diminish.

By working with a collections agency, staff is then free to focus on other projects and more reasonable cases. Debt collectors at a collections agency approach debt collection aggressively, and their entire job is to pursue debtors and recover as much money as they can in the shortest amount of time. With capabilities such as skip tracing and high-tech software solutions used to gather information, a third-party debt collection agency is equipped to handle all debt collection cases.

Rapid Recovery Solution takes on difficult cases and has a high success rate when it comes to recovering funds. Unmatched collection services make RRS a clear choice for businesses of every size. Begin recovering the funds owed to you while enhancing business operations by taking advantage of professional collection services.

collection-agency

Protecting Your Profits when Using a Collection Agency

It is important to recognize how collection agencies make money from debt collection services. Most collection agencies simply take a percentage of the recovered funds, meaning services do not need to be paid for upfront. It is best to avoid collection agencies that charge fees and retainers before any funds are recovered.

The payout amount often depends on a few main factors. How old the account is, the volume of accounts, how much money is owed, and the collection agency’s percentage payout policies will all influence your bottom line. The best choice is a collection agency that provides fast recovery, large percentage payouts, and guarantees. That way, your money is not at any risk and you only stand to profit.

The guarantee offered by Rapid Recovery Solution ensures the collection agency does not get paid until you do. Clients of RRS receive access to a skilled network of attorneys, advanced debt collection methods, experienced debt collectors, and skip trace services without upfront fees and retainers. Receive a free quote and enjoy risk-free debt collection that will get you paid.

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The Importance of Regulations in Debt Collection

Debt collection agencies must adhere to national and federal regulations. The various laws, acts, and ethical guidelines can make debt collection difficult for those who are not equipped to handle the task properly. For this reason, it is important to select a debt collection agency with capabilities that align with your goals and needs while working within the law.

There are license requirements that vary between states and countries, and it may be necessary to select an agency with the capability to collect debt across borders. It is also important to select a collection agency that deploys debt collection methods that match your end goals and ethical guidelines. If an agency is too rude or aggressive, a debtor may try to retaliate or make the situation more difficult. Those looking for dental or medical billing debt collection need to select an agency that is sensitive to maintaining the patient-provider relationship. Collection agencies should have an excellent track record in terms of recovery and a positive reputation.

Rapid Recovery Solution is licensed to work in all fifty U.S. states and hundreds of countries worldwide. An effective multistage approach maximizes efficiency and the chances of recovery, and a network of attorneys is available to ensure compliance to legal regulations and codes.

money-bag

Making Collection Practices More Successful

Feel like your accounts receivable department can do more to aid debt collection? Even the largest, most-powerful businesses face struggles in this area. Many customers are quite good at escaping collection calls, and some have been known to even skip town.

The first line of defense against loss of funds is to develop and implement strong debt collection practices.

  • Contact customers frequently to ensure they know about the debt. Trying various forms of communication (mail, electronic mail, phone, etc.) can lead to additional success.
  • Have resources on hand when customers do contact you about a debt. Being available to take calls and address concerns and questions can increase the chances for recovery. Facilitate clear, professional communication and be willing to negotiate in terms of unpaid debt.
  • Treat customers with respect. Don’t assume a customer is trying to swindle you or simply avoid paying. They may not be able to pay at the moment or may not have the full amount. Again, keep an open mind and have policies in place for fair negotiations. Recovering some money is much preferable to recovering none.
  • Have guidelines in place for referral to a debt collection agency. After a certain length of time or certain amount of debt unpaid, difficult cases should be referred to a debt collection service for assistance. A debt collection service can help recover funds quickly and get the problem taken care of.

Rapid Recovery Solution offers free quotes and fund recovery guarantees. Find out more and add a quality debt collection agency to your arsenal.

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Tips For Hiring a Debt Collection Agency

Businesses do their best to recover owed debts, but some cases simply are too difficult to handle alongside regular business operations. Your time and money are important, and debt collection often consumes both. Hiring a qualified debt collection agency can reduce the strain on your business and recover funds once and for all, freeing up employees and departments to focus on other important projects.

Consider Your Needs

Is your business a small home-based operation, a small to mid-sized firm or a large company? Are your cases very difficult, or are you simply looking for a helping hand? Look into various companies and see if their services match what you are looking for. If you’re trying to track down funds owed by a large business, for example, a company that only specializes in small claims probably won’t fit the bill.

You’ll also want to ensure the debt collection agency is well-equipped to successfully collect your money. One service offered is known as “skip tracing”, and it helps track down debtors who have left the area with little or no trace. These cases are very difficult for businesses to handle on their own, but debt collection agencies are professionals equipped with special tools and methods to get the job done.

Consider Qualifications

In addition to what the company offers, you will also want to ensure the debt collection agency of your choice is properly licensed and follows legal regulations and rules. You definitely don’t want to hire a company that uses unfair practices to collect debts, as such behavior can tarnish the reputation of your business as well. You will also want to be sure the collection agency has insurance to protect against cases where debtors sue. Obtain proof of insurance right away to protect yourself from liability if the collection agency uses inappropriate practices.

“A collection agency should make an effort to provide you with the information you need for successful collections. A company that keeps you in the dark should be avoided,” says John Monderine, president of Rapid Recovery Solution. Rapid Recovery offers free quotes and regular articles with collection tips, showcasing their transparency and skill before businesses even contact them. More information generally does lead to better results, and it is something to watch for in your research.

Consider Costs and Guarantees

How much does each agency charge, and is there any guarantee or time limit? The last thing you need is a shady debt collection agency wasting your time and money with a never-ending case. It’s best to hire a collection agency that adheres to clear guarantees. Most agencies won’t charge you a fee unless the money is recovered. Of the recovered amount, agencies generally take a cut depending on how difficult the case was. Remember, receiving some of the money you are owed is better than not receiving any of it. Hiring an agency early will generally be cheaper, but do be sure you’ve gone through all reasonable options before hiring one. An experienced agency like Rapid Recovery will be able to provide quick recovery of funds at a rate that works for your business.