Debt Collection Agency Tips

Good communication between your business and the debt collection agency is essential to good results. Before you start, be sure to find out:

• How information about delinquent accounts will be transferred to the debt collection service
• When and how collected funds will be forwarded to you
• What reports are provided to detail the collection progress and success rates
• How you can stop debt collection if you receive payment or credit an account

The debt collection agency will be better able to do their job if you give them complete information. For each account that you send over, provide as much of this information as possible:

• All the basic contact information: business name, DBAs, all the contact names on file, addresses and phone numbers, including faxes, cell phones and pagers

• Indicate if your mail has been returned
• Names of other creditors who your customer works with
• A complete history of the transactions you are trying to collect on and any customer disputes

You should also make sure the debt collection agency understands your business: your industry, your products, and your accounting system. The more information they have, the better the chances that they will be able to help you recover the money that is owed to you.