Companies are increasingly using advanced digital tools to increase their debt recovery efforts. Different platforms have varying capabilities, but most streamline the collection process by providing automated solutions. For example, debt recovery software can replace manual processes such as dunning, payment tracking, and settlement processing. Others can also provide detailed reports and analytics to help […]
First-party and third-party collections play an essential role in the debt collection process. In first-party collections, an organization uses its internal team to collect debts or acquire the services of an agency. With third-party collections, an external agency runs the collections efforts. Understanding the differences between the two will help you know what to do […]
Today’s debt collection technologies offer many benefits, helping businesses achieve more with less effort. For example, cloud-based debt collection software streamlines debt payments, provides real-time reports, and simplifies communication. With the right technology, debt collection firms can increase recovery rates, improve compliance, and enhance customer relationships. Below, learn more about current industry challenges, debt collection […]
While federal law protects individuals who obtain consumer debts, businesses have limited safeguards regarding debt collection. Some states have corporate debt collection laws relating to licensing requirements and statutes of limitation. However, the core guidelines to collect commercial debts properly are found in the code of ethics that applies to certified members of renowned associations. […]
In an interconnected global marketplace, freelancers and business owners often grapple with the intricate challenge of international debt collection. Retrieving overdue payments from clients and customers across borders can be complex, demanding a nuanced understanding of the processes and laws involved. Whether you want to know more about deciphering the stages of debt retrieval, staying […]
Business process outsourcing (BPO) is a growing concept. It first began in the manufacturing industry, and now all kinds of businesses choose to outsource various functions and tasks. As technology advances and businesses become more competitive, outsourcing mundane tasks allows leaders to channel resources to core functions. Your company can capitalize on business process outsourcing […]
Consumers and businesses have several protections regarding debt. These protections keep collection agencies from aggressively pursuing debts or using unethical practices. One of those protections is the Fair Debt Collection Practices Act (FDCPA). The FDCPA limits what collectors can do and say to consumers. It also allows consumers to validate a debt. The Commercial Collection […]
Debt collection is a critical part of running a business. Many businesses run on credit, so they need a strategy to collect customer payments. In most cases, the debt collection process is clear to the customer from the onset of the agreement. However, that doesn’t guarantee that every customer will pay on time. Your business […]
Debt collection and debt recovery, or loan collection vs. loan recovery, sound similar but are two different processes. Debt collection is when a business uses in-house resources to collect client debt. Debt recovery is when a company enlists a third-party agency to complete the process. You may have experience with both in your business — […]
Old debt can come out of nowhere. You may even forget someone owes you money until you revisit your books. Before you make plans to collect on your debt, it’s best to find out how long debt is valid, how long your company can try and collect a debt, and your state laws regarding the […]
