Collection & Credit Insights
February 2003
Volume 11.2
Download as PDF - Front - Back
Happy St. Valentine's Day!
Upcoming Events
We hope to see you there!
Recovery Skills Seminar
March 4, 2003
Don't miss out!
Call us at (800) 710-4821
for an early registration.
Welcome to Our New Clients
- GI Medicine Associates, PC
- Dr. Parvis Meghnot
- America 1 Towing
- Dr. Jay Nitzkin
- Studio Virsu
- Ellis Brothers Towing & Repair
- Rudd's Towing
- Integrity Counseling
Our Offices
Adrian Credit Bureau
(517) 265-8161
Ann Arbor Credit Bureau
(734) 665-6173
(800) 710-4821
Jackson Credit Bureau
(517) 787-5333
(877) 787-6273
February CPI Meeting
Credit Professionals of Ann Arbor will meet on Tuesday, February 11, 2003 at 7:30 am at Weber's Inn.
Topic of discussion will be: "ID Theft: The Growing Crisis."
Meeting fee is $10.00.
Contact Rebecca Burk at (734) 994-6928 for reservations.
Collecting from Collectors
Historically it is known in our industry that a collector who owes a debt is at a distinct advantage if other collectors come a-calling. Because of their familiarity with the business of collections and due to the fact they know the laws and the consumers rights they definitely could pose a challenge should an agency attempt to collect from them. Kind of like the old saying...never kid a kidder.
Recently our office did the impossible or so it seemed. A collection agency had a large phone bill that was turned over to us for prompt collection follow-up. The standard routine ensued as the agency disputed the debt and emphatically denied its legitimacy. Correspondence flowed back and forth. Attempts to satisfy our client and the agency seemed all but lost, then entered the offer. With a long, costly court case appearing certain, our collector asked the agency to make an offer. Perhaps if it was reasonable and our client agreed, we could clear this whole item up. The collection agency offered to pay half of the balance to settle, and eventually with counter offers and negotiation strategy an agreement was made to settle for about 70 cents on the dollar. The bill was paid promptly and all parties avoided the court battle.
Settling a debt today is an excellent tool for clearing up past due receivables. Remember these simple rules when considering settling with one of your debtors:
- Only consider reasonable offers.
- Never accept installments on the agreed settlement.
- The agreed amount must be received timely (no more than a week or so is recommended).
Settling a debt takes patience, negotiation skill and the art of persuasion. If you feel you could use some more pointers, contact us to register for our Recovery Skills Seminar coming up in March. You can learn collection techniques just like our own collectors use every day. You may not always be successful as our collector was with that collection agency that owed the phone bill, but it may just make the difference in your bottom line.
Thomas Oldani
Moving' On Up!
Congratulations to Halina and Nikki in our Ann Arbor office who have shown they have what it takes to get the job done!
- Nikki has moved from the Front Office Support Staff to Client Sales and Service Support.
- Halina has moved from Client Sales and Service Support to Front Office Supervisor/Bookkeeper.
Both Nikki and Halina look forward to working with all of our clients and customers. Along with all our other staff who do a wonderful job day in and day out, we wish to congratulate them again!
Should a claim be referred to an attorney?
In order to decide whether a claim should be referred to an attorney, it should be closely reviewed in order to determine whether sufficient information is available to successfully prosecute the claim. This should include detailed information regarding the consumer's demographics, the claim, and the consumer's assets and income. A significant weakness in any of these areas dramatically reduces the likelihood of a successful legal effort.
Every case referred to your attorney should be carefully reviewed for the following:
- Demographic information - includes the consumer's name, address, Social Security number, telephone number, date of birth and gender.
- Detailed claim information - describes in detail the method used to calculate the balance due, the goods or services rendered the consumer to create the balance, the date(s) the obligation(s) was incurred, and whether attorney's fees and collection costs may be demanded.
To improve the odds of collection you should include asset information in your referral. For example, if the consumer has ever made a payment by check to your office, the bank and account number associated with that check should be provided to your attorney.
Ultimately, an effective and profitable legal desk is within the reach of any agency. While tempered by the structures of the law, the performance of a collection attorney is only limited by the "garbage in, garbage out" rule. If you provide your attorney with accurate information, limit reporting demands to those that are related to a legitimate identifiable business purpose and maintain reasonable litigation expectations, results can be truly impressive.
Love yourself first and everything else falls into line. You really have to love yourself to get anything done in this world. -- Lucille Ball
RECOVERY SKILLS SEMINAR
Gain the collection skills you need - and want - to have
A half-day seminar full of important tips and techniques
Recovery Skills Seminar
March 4, 2003 8:30 am - 12:30 pm
Holiday Inn, 3600 Plymouth Rd.
Ann Arbor, (734) 769-9800
Collector Workshop
Various tools and guidelines to
effectively get the debtor's payment.
Legal rights and ramifications with
regard to the collection of accounts
receivable.
Time is reserved for your special
and unique questions to be answered
by collection professionals and legal
council.
Who should attend?
New employees.
Current collectors with no previous
training.
Front office/support staff, especially
those who have contact with customers,
or are looking to move into collector
positions.
Fast seminar facts:
$75.00 per person.
Free workbook/instructional manual.
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