News & Resources

Choosing a debt collector

Aug 27, 2011 Mike Garretson

Before hiring a debt collector, a business should research the agency in-depth, insideARM reports. While a debt collector may not work within the confines of a particular company's office, their actions reflect the business. Because of the extreme negativity that surrounds the industry, a company should assure the people they're working with have a reputable history. "Your cash flow is at stake. You have legitimate receivables to collect. A professional debt collection agency is trained to do it properly, "Stephanie Eidelman, a contributor for Forbes, wrote. "How can you find a collection agency, and more importantly, how do you identify the best service provider as opposed to just the best, or most aggressive, or only marketer?" According to Eidelman, the collection agency that a company chooses should have experience in the lender's industry, provide details about collection methods and give regular reports of their progress. If a company deems that their affiliated debt collection agency is using questionable practices, they should immediately cut ties with them. The reputation of a partner may directly impact everyone involved.