Current Newsletter
Collection & Credit Insights
August 2004
Collecting from Collectors
Historically it is known in our industry that a collector who owes a debt is at a distinct advantage when 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 the advent of 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 skills and the art of persuasion. If you feel you could use some more pointers contact us to register for our Collection Seminar coming up on October 15th. You can learn collection techniques just as our own collectors use every day. You may not always be as successful as our collector was with that collection agency , but it may just make the difference in your bottom line.
Thomas Oldani
Office Location
Ann Arbor Credit Bureau
(734) 665-6173
(800) 710-4821
PLEASE NOTE THAT OUR JACKSON OFFICE AND ADRIAN OFFICE HAVE MERGED
TO OUR ANN ARBOR OFFICE.
Upcoming Events
Michigan Tow Rodeo
Aug. 13-15, 2004
Collections Seminar
Oct 15, 2004
Welcome to Our New Clients
- Family Care Specialists
- Battle Creek Appraisal
- Mancino's of Howell
- Hart Medical, Inc.
Golf is a game in which you
yell “Fore,” shoot six, and write down five.
Paul Harvey
People don't care how much
you know, until they know how much you . . .
collect Phone Numbers
Client/Sales questions
800-710-4821
Mortgage Dept.
800-684-2738
Customers to pay bills
800-741-6955
Report payments
734-665-6173
Summer Hours:
Summer hours-effective from Memorial Day to Labor Day:
Monday-Thursday 8:30 am to 6 pm
Friday 8:30 am to 5 pm Interesting Statistics...
- Average credit score: 678
- Average dollar amount owed per individual on revolving credit accounts (credit cards)/fixed payments (auto loans) excluding mortgages: $10,147
- Debt owed (as percentage of credit limit): 24.5%
- Minimum monthly payments: $479
- Percentage of population with at least two credit cards: 46.2%
- Those who use at least half of their available credit: 16%
High Payment of the Month!
High payment honors this month again go to Jack Kramer. Jack is on a roll and collected $4,349 from a local medical facility.
Way to go Jack!!!
Towing Rodeo
Just a reminder to come up and visit us at the “Tow Show & Rodeo” at the Plaza Valley Resort, 5221 Bay City Rd., Midland, MI on August 13-15, 2004. Hope to see you there as there is family fun to be had by all.
"Timely Returns"
Ours is a reciprocal relationship indeed. There clearly exists a direct correlation between the timely recovery or return of your bad debts listed with our office and the timely responses you provide to our requests.
Requests like the disputes we forward to you that must have your input and response within a limited time frame (interpreted as thirty days) for collection efforts to continue. Other requests such as our suit authorization forms that need to be returned to our office, regardless if you wish us to pursue litigation or not. We rely heavily on your swift attention to such requests which often means the difference between collecting the bill or not.
So the next time you receive a request for response from us whether it be a dispute, request for additional information or suit authorization remember that your timely response has immediate impact on our ability (and in some cases our right) to continue collection efforts. Please reply promptly so we may continue to work on recovery of your receivables.
Recovery Skills Seminar!!!
Recovery Skills Seminar
October 15, 2004
Holiday Inn, 3600 Plymouth Rd.,
Ann Arbor (734) 769-9800
Collector Workshop
- Negotiation skills
- Collection laws-what governs you when you work your accounts
- How to make your collectors more efficient and effective in their collections
- Discussion on issues and cases which affect specific collection problems
- What’s involved when your account goes to third-party collection litigation
Time is reserved for your special and unique questions to be answered by collection professionals and legal counsel.
Who should attend?
- Supervisors/Managers who want to hone their collection techniques and provide new ideas for A/R staff
- Collectors and A/R representatives
Fast seminar facts:
- $75 per person
- Workbook/instructional manual
included
- To register, complete this form and mail or fax to:
Ann Arbor Credit Bureau
311 N. Main St
Ann Arbor, MI 48104
Fax: 734-663-5794
Call Debbie/Carol at 800-710-4821
for more information!
Company Name
_________________________________
Your Name
_________________________________
Address
_________________________________
City_______________________State___
Zip___________
Phone # ( )_________________
Number of Attendees____________
Names
_________________________________
_________________________________
Total Enclosed __________
Bill Me (Clients only) __________
RECOVERY SKILLS SEMINAR!!! |
