Debt Collection Agencies: 3 Tips To Find The Best

If you’re a business owner looking to recover your debts, finding an effective affordable and trustworthy debt collection agency can be a daunting task. As in any industry, collection agencies vary in both ethics and experience. Consequently, if you choose the wrong one chances are you’ll lose a truck load of money both in unrecovered debts as well as in predatory collection agency fees.

Thankfully, there are three powerful debt collection secrets to locating the best debt collection agencies that when you put to work for you will save you thousands of dollars as well as recover more of your debts faster… all without exposing you to the usual headaches and frustrations that so often go with debt recovery.

So powerful are these three insider questions that frankly, only a fool would pick a debt collection agency without first asking these three questions.

Insider Question #1: “What Guarantees Do You Have That You’ll Actually Recover My Accounts?“

Most agencies will state that No Collection means No Commission! Don’t be fooled. This is NO guarantee of collection but rather a deceitful cop-out.

Because in truth when you go with these agencies you’re the only one at risk!. Irrespective of whether or not they collect your account they’ll still hit you with an upfront fee for pursuing the debt. So not only do you end up empty-handed, you also have to pay for their failure to recover your money!

So you end up losing twice while they come out with money in the bank.

So while such agencies are rare, whay you must insist on is a debt collection agency who guarantees that the guarantee that the money you invest with them will actually bear a return in the form of a collected debt.

Bottom Line: ONLY ever deal with a collection agency that guarantees collection of your debts!

Insider Question #2: “How Do You Deal With Disputed Debts?“

Don’t be fooled… this one’s a BIGGIE!

In a desperate attempt to get out of paying their accounts, more and more debtors falsely dispute their debts And what makes this dirty tactic so powerful is the fact that with rare exception debt collection agencies will either flat-out refuse to have anything to do with disputed debts OR they’ll charge you exorbitant fees to do so.

As a result, you’re left to deal with the disputes yourself.

But trying to sort out a dispute on your own — even if its blatantly fraudulent — is as financially crippling as it is emotionally infuriating. The legal costs alone can very rapidly dwarf the size of the unpaid account.

Fortunately, there are a handful of collection agencies that are geared to deal with disputes on your behalf at no additional charge. That’s why it’s imperative that before you sign any agreement with a prospective collection agency you get them to verify exactly how they handle disputed debts.

Take Home Message: Only deal with debt collection agencies that have systems in place to deal with disputed debts without charging you extra for it. As I said, this is a biggie.

Insider Question #3: “Do You Charge A Commission On Collection From Day 1?“

If you could only ask one question of a prospective debt collector, this would be it.

Granted, at first glance charging a commission on collection may appear reasonable. 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 are liable to pay collection costs, any money that’s collected on your behalf will be significantly whittled by the commission on collection. On recovering your money debt collection agencies that charge commission from day one can skin anywhere between 20% to 40% right off the top. No matter how you look at it that’s a huge slice of your pie to throw away.

On the other hand, if you possess the right to pass on collection costs 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 to you.

However, what normally happens, slapped with penalty fees 20% to 40% over and above the original debt these angry debtors shamelessly try it on with bogus disputes in an effort to get out of paying a cent.

Net Result: Despite the fact that it’s your debtor who gets stung with the collection costs, it’s you who ultimately misses out as you fail to recover a fair swag of your debts.

So in short, you should only ever hand your debts over to a debt collection agency that guarantees to recover your debts within a commission-free window and do so for a low one-time fixed fee… irrespective of whether or not the debt is disputed.