What Does Happen When You Assign Your Debt to a Collection Agency?

business debt collection

At Nelson, Cooper and Ortiz LLC, we keep getting calls and emails where our potential clients ask us about how the process of collection happens and how it can benefit them. Now, it is understandable that for a layman, it can quite tricky to understand how collection services work. So, here, in this blog, we are going to tell you about the stages of collection for companies and how it will work.

The First Approach

When you are coming to us or for that matter, any collection agency in your city, they will start with the following steps as the first stage of it.

  • Signing a contract once we explain the services to you
  • Set up the mode of payment as you prefer (check, direct deposit, demand draft)
  • In case you want to report the accounts to the credit bureau
  • Escalation to the next level of the collection in case of failure, i.e., filing litigation
  • Establishing the right mode of communication

Running Checks

Once we receive your case or you submit the file to the best collection agency to work on it, a few checks are run. We check for bankruptcy scrub to find out if the debtor is legally discharged from all his debts. With address scrub, also known as skip tracing, we find out the latest address and phone number. With the statute of limitations check we find out if the timeline has crossed or not for suing a debtor. With litigation debtor checks, we find out they have a history of filing lawsuits or not. We also check the debt dispute period to keep our clients on the safe side. For this, we will need complete documents and copies of invoices from the clients.

The Final Step

Depending on your requirements, we will work further on your debt. We can send collection letters that you can get at a flat rate. Or you can opt for collection calls services at contingency basis. And, finally, if you want to escalate the matter to the next level, as in filing litigation, we can help you in that too.

So, now as you know about the stages of business debt collection, what are you waiting for? Get in touch with us today and get your money back. Visit https://prelitigation.com/ or call at (800) 939 7213 now.