Debt Recovery Agencies
There are many factors to weigh when choosing among various debt recovery agencies. You want an agency that is thorough, has a well-trained staff, and utilizes the latest technology. Yet there are other important issues to consider as well such as:
Are the debt recovery agencies 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 annually. Contact the appropriate state-licensing department to validate an agency license.
Do the debt recovery agencies operate ethically?
The state office can tell you if any complaints have been filed against a licensed agency. Agencies that violate FDCPA not only reflect poorly on themselves but on the client as well. Also look for membership in state and national trade associations, indicating the agency follows standard guidelines and codes of ethics.
Are the debt recovery agencies located in the geographic area of your collection problem?
A local agency will know the states 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 the area better than anyone, which will result in greater possibility of recovery.
Will the debt recovery agencies provide references and allow on-site visits?
A reputable agency will gladly welcome your scrutiny and provide references.