How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Maverick Your Own Question
Maverick
Maverick, Attorney
Category: Business Law
Satisfied Customers: 5767
Experience:  20 years of professional experience
16823287
Type Your Business Law Question Here...
Maverick is online now
A new question is answered every 9 seconds

I would like to find an collection agency. Can you show to

Customer Question

Hi I would like to find an collection agency. Can you show to look fo a good one
Submitted: 11 months ago.
Category: Business Law
Expert:  Maverick replied 11 months ago.

Welcome to Just Answer (“JA”)! My name is Maverick. Please note that:

(A) The information we provide is general information. No attorney-client relationship or privilege is formed by communicating with me. If you want legal advice, you must consult with a local attorney in person before acting or deciding not to act based on any information given here;

(B) When I feel that I have provided you with a complete answer, I will ask for you to assign a feedback rating so that JA will compensate me for my time; and

(C) You should not be concerned about any short delays between your questions and my replies. Please know that I answer most questions within the hour if I am signed on. If I am not signed on, then I still make every attempt to respond within 24 hours.

Thank you for taking the time to understand how this site works. By continuing, you confirm that you understand and agree to these terms.

Answer will follow in the pane below as per above parameters….

Expert:  Maverick replied 11 months ago.

Here is a list of collection agencies in your area.

1. call and make sure you have the right type of agency for the type of debt you want collected. Some specialize in collecting for or from large companies while others work with small businesses or home-businesses. So, find out what sort of debtors the collection agency most often deals with and what sort of businesses it serves.

2. Make sure the one you want to hire is bonded, licensed, and adheres to the rules of the Fair Debt Collection Practices Act.

3. Good collection agencies use what is known as “skip tracing”, which means that they use and have access to several databases that allow them to locate a debtor who has left no forwarding address.

4. Get proof of insurance from your debt collector in the unlikely event that your debtor takes you both to court. This is most often called “Errors and Omissions Insurance”.

5. Compare payment structures. Some charge a flat fee; Others work on a contingency fee basis. This is the most typical arrangement with fees between 25% and 45% of the total amount collected based on the age of the debt;

6. Most reputable ones are members of the American Collectors Association or the Commercial Law League of America. Both associations require that their members adhere to a code of ethics and are familiar with the Fair Debt Collection Practices Act.

7. Ask about their recovery rate percentage. Ask for references to verify the percentage. Check to see how long it took the agency to collect and if they collected the whole debt or just a part of it.

Expert:  Maverick replied 11 months ago.

Please assign a feedback rating for this answer so that JA will compensate me for my time. Thank you.