5 Important Things You Need to Know about Debt Collectors
Did you know there are 5 important things you need to know about debt collectors?
Your strategy to resolve a debt can be adjusted accordingly depending on the type of debt you are dealing with.
Working with a 3rd Party Debt Collection Agency
The industry is large so there are thousands of companies that collect debt for companies on a regular basis.
Collection Agencies that work direct with credit card lenders are typically larger conglomerates. They make ever attempt to collect for their client. That agency will be paid an agreed on percentage of what they collect.
Debt Collection Agencies have limits too
Ever Collection Agency have no choice but to follow federal and state laws. They have a certain why and time they can contact you the consumer. These laws are put in place to protect you.
May companies will send bad debt to collection agencies with an expired time on them as well.
Don’t take it personal when they try hard to collect as this is the only way they have to prove their worth to a client.
You can actually contact the Debt Collection Agency
Typically, you know who you are working with by the letters or phone calls. It never hurts to call the original creditor to verify this is in fact who they are using to collect unpaid debts. Then reach out to them and try to get it settled. They want to work with you. It is in their best interest. Getting ahold of you is sometimes the hardest thing for them to do, so you contacting them puts you on a different playing field.
Collection Agencies Want to Work with You
Keep in mind it is a win – win for the debt collector if they get you to agree to monthly payments so the debt is resolved. Setting up a payment plan is simple and easy to do if your budget allows for that solution.
Monthly payments are not the only option. If you cannot make that solution work, then check with them and see if a onetime settlement at a much lower amount is possible. This does not work in all cases but many times it will be the best solution to a bad situation.
MCA is a third party debt collection agency that has been in constant business since 1950. We are rated A+ with the Better Business Bureau and we pride ourselves in excellent customer service along with delivering great recovery rates. There is no cost to you unless we collect! Why not try and re coop some of your past due accounts with no out of pocket expense?