Why You Should Work with a Collection Agency
Any business thrives on the payments they get for their products or services. Unfortunately, some customers are unreliable. You likely have more urgent things to do than making phone calls or writing letters every now and then to collect delinquent debts. On top of that, debts grow old and become harder to collect. If your efforts have been largely unsuccessful or you just no longer have the time or energy to keep going, you can hire professionals, such as Fox Collection Agency, to do the job for you.
Successful Debt Recovery
Working with a collection agency substantially improves your odds of collecting longstanding debts. While you focus mainly on your daily operations, a collection agency can take care of your debtors. Remember, these agents, especially at Fox Collections, are trained professionals, so they have more knowledge and experience when it comes to debt recovery than you. Moreover, they are well-connected with credit bureaus and will be able to report unpaid debts anytime. Most of all, debtors know this and how much their credit scores can suffer from a collection account. Thus, they will likely want to work something out with your collector, especially if it’s Fox Collection Agency, just to prevent potential damage on their credit.
Collection agencies such as Fox Collections know that various businesses will have various needs in terms of debt recovery. Because these collection agencies are highly adaptable, you can be sure about finding one that meshes very well with your business model. These agencies may pursue debtors for a fixed fee, while others get a commission for every successful collection. You can also just sell the debt (some agencies will buy debts outright) and write it off as a tax loss. It’s all a matter of coming up with an agreement with your chosen debt collector.
With the various state and federal laws affecting the debt collection industry, consumers are not probably going stop short of filing a case for harassment or any related violation. If you don’t know a lot about these laws, collecting debts is actually a minefield of potential legal issues. Third-party collectors are masters of these laws, so your debt recovery efforts are essentially safe. Definitely, it’s important to pick a reputable collector such as Fox Collection Agency to make sure that you indeed have such legal protection.
Part of collection agencies’ debt collection processes is keeping records of all communication with debtors. Should there be a need to file a case against a debtor, the agency will supply all the documents needed to establish your case. Even if you sell the debt, you’ll still use all those records when writing off the debt as a tax loss, most especially if you are audited by the IRS.