Common Questions

Is the agency licensed by the State?

Not all States require an agency to be licensed. It’s best to deal with a licensed agency. Licensed agencies follow state collection laws and are audited regularly. Contact the appropriate state licensing department to validate an agency’s license.

Does the agency operate ethically?

The State office can tell you if any complaints have been filed against a licensed agency. Also look for membership in state and national trade associations, indicating the agency follows strict guidelines and codes of ethics.

Is the agency well-versed in applicable State and Federal collection law?

Ask if the agency staff is regularly trained and tested on their knowledge of compliance requirements.

Is the agency located in the geographic area of your collection problem?

A local agency will know the state’s laws and have an established network of resources. It’s also easier to make direct contact with the debtor when the agency is local. The particular agency knows that area better than outsiders, which will result in greater probability of recovery.

Will the agency provide references and allow on-site visits?

A reputable agency will gladly welcome your scrutiny and provide references.