Frequently Asked Questions
For Clients or Potential Clients

What kind of bad debt will a collection agency help me recover?
Different collection agencies will work on different kinds of debts. Full service collection agencies will accept all kinds of debts. Below is list of some of the debts you may come across. This is not a complete list, and if you are not completely sure about your particular debt, you can ask the collection agency.

- NSF Checks [Non-Sufficient Funds Checks]
- Stop Payments
- Checks written from closed accounts
- Child Support
- Prior Judgments or Legal Actions
- Rent
- Personal Loans
- Medical Services

Whether you sold a product to someone and did not receive payment, or you loaned someone money only to have your trust broken, a collection agency can help you recover your money.

What information will I need to provide?
Any information on your debtor or the account will prove useful to a collection agency in the debt collection process. Below is a list of information that will prove helpful.

- Real name or aliases your debtor goes by
- Address
- Phone numbers
- E-mail
- Any other means of contact that you may know of
- Product or service provided
- Reason for non-payment
- When was the debt incurred
- When did the debt officially become past due

The collection agency will also need your contact information to keep you updated on your accounts or send you your check if the collection agency is successful.

What if I don’t have contact information on my debtor?
Do not worry if you don’t have information on your debtor. Collection agencies will perform investigative services to track down your debtor. Information such as addresses and phone numbers will be found. Even if your debtor has moved states, a collection agency should be able to track them down. These investigative services are included in your fee, so you do not have to pay extra if you are missing information or your debtor has moved without you knowing.

What if the collection agency is unsuccessful?
The collection agency may give you the option to send your account to litigation. The collection agency can advise and help you send your past due account to litigation, where legal action will be taken against your debtor

What about credit reports?
Most collection agencies will report the debt to the major credit reporting agencies. This can help provoke your debtor into paying the debt sooner if they know full well the ramifications of their actions. If a debtor pays the collection agency, they can either not report or reverse the credit mark.

<- [1] [2] [3] ->