The debt recovery company selection process is extremely important. Many times, organizations are afraid that bringing a debt recovery company on board will result in negatively affecting their clients. They think that the clients will have such a negative reaction that it will hurt the brand of the organization. This only happens when an organization doesn’t do their research and find a reputable debt recovery company.
Once you’ve gotten over the hurdle of committing to a debt recovery professional, and you’ve established that all your finalists are licensed to practice in every state and have memberships to exclusive associations that only allow the best agencies in; you need to determine the collection capabilities of the agencies.
The agency must be capable of handling all of your accounts, which means they should have some experience in your industry. Some training will still be required, so determine if they have the ability to supply that training to their agents. Is the agency sufficiently staffed to handle all of your delinquent accounts? For instance, if you’ve got more than 1,000 accounts and the agency only has a handful of agents to work these accounts, is this sufficient to cover your debt recovery needs. The collection agency you choose should have the technology, training and staff available to handle your case load.
The technology the agency uses should also include the ability to give you customized reports as often as you need them. In most cases, the reports are accessible through a username and password and will show a compilation of data on each account, include its status and how much has been repaid. The goal of these reports is to provide total visibility into every account. If the agency can’t provide such visibility, move on to the next finalist.
How will the agency get paid? When evaluating each of the agencies, it’s important to know exactly how they are paid and how much. As a rule, most reputable debt recovery companies only get paid when you get paid. The amount often depends on how overdue the account has become, but it’s generally between 15 and 25 percent. Some agencies will give you a better deal if you give them more accounts.
If you place a large amount of work on the agency and have them practically doing your billing, some of these commissions will be as low as two percent. It’s in these situations that the debt recovery company is acting like a department of your own company, often billing with your masthead instead of their own.
An agency’s ability to communicate what they’re doing is very important to most organizations. If you’re looking for the ultimate in visibility and communication, choose Omega-RMS, llc.
With more than four decades of experience and membership in an exclusive debt recovery association, clients of Omega-RMS can attest to excellent representation that boosts brand value.