Commercial Collections – A Business’ Best Option

Unlike consumer debts, commercial debt balances tend to be considerably higher, often times leaving businesses in a precarious position not having access to much-needed capital. When internal efforts to collect on a commercial debt prove unsuccessful, one of the most important steps a business owner can take is to contact a commercial collections agency…

Unlike consumer debts, commercial debt balances tend to be considerably higher, often times leaving businesses in a precarious position not having access to much-needed capital. When internal efforts to collect on a commercial debt prove unsuccessful, one of the most important steps a business owner can take is to contact a commercial collections agency.

Helping businesses recover past receivables that are long overdue is what a commercial collections agency excels at. Most businesses are unaware of what procedures to take when dealing with outstanding unpaid accounts. A commercial collections agency specializes in those procedures having policies, practices, and systems in place for commercial collections and large debt claims

Considerably more proficient in the debt collection process, a Commercial Agencies employ highly trained, adaptable, and skilled debt collectors to handle the commercial collections for their clients. Agencies are required to do due diligence before contacting the debtor including background checks, corporate structures, skip tracing through non-public database searches, payment histories, and other relevant information and inquiries.

All Local, State, and Federal Regulations must be followed by a Commercial Collections Agency. To do so, many agencies work with local attorneys to ensure their adherence to all regulations and requirements. Continual education is a must for a commercial collections agency to stay informed of any and all new laws and/or changes within the industry; yet another reason businesses should turn to commercial collections services for help in recovering outstanding receivables.

However, though it goes without saying, choosing a reputable and experienced commercial collections agency is key to the success of a business owner when it comes to recovering any unpaid accounts and outstanding debts.

3 Things to look for in a commercial collections agency:

  • Recovery proficiency
  • Professionalism and service
  • Confidence and Trust

Without using the above criteria when choosing a commercial collections agency to recover your outstanding receivables, business owners could find themselves no better off than before

Successful Debt Collection Tips: Effective Phone Conversations

Debt collection efforts can be stressful. One of the biggest mistakes individuals make when collecting on outstanding debts is not communicating properly; none more so than while attempting to collect on a debt via the phone. Deploying the best practices in accordance with national, state and local laws…

Debt collection efforts can be stressful. One of the biggest mistakes individuals make when collecting on outstanding debts is not communicating properly; none more so than while attempting to collect on a debt via the phone. Deploying the best practices in accordance with national, state and local laws is essential to avoiding debt collection missteps and having successful debt collection efforts.

Successful Debt Collection Tips:

Effective Phone Conversations

Though generally seen as the most efficient and effective method for successful debt collection, there needs to be a level of competence and skill to your methods. In other words, Professionalism is key.

Most people are familiar with the horror stories of debt collection efforts by less-than-scrupulous collection efforts. One thing that is common with individuals engaging in these tactics is a lack of professionalism. Here are a few tips you can use ion yourtelephone decorum arsenal to help you in your successful debt collection efforts:

  • Be polite–“Please”and “Thank You” go a long way. Be cordial while still conveying the importance of the matter and the need for a timely resolution.
  • Remember to smile–Yes, the debt collections process is less than desirable and a bit stressful from your end, even more so on the debtor. Your smile will come across and will more often than not put the other party at ease.
  • Avoid anything in your mouth during your call: food, candy, gun, etc.
  • Call during the appropriate hours–Not everyone works a 9 to 5 job, determine the best hours to reach the debtor by phone. You can do so
  • Avoid laying blame–Having debt can be stressful enough without someone making accusations or laying blame. As noted above, be polite. Be cordial. Discuss with the debtor the reason for failure to pay, they may not be what you think.
    For instance, perhaps the other party has a complaint of product or service. By digging deeper you can discover what the complaint is and work to resolve the situation while simultaneously providing a solution to recoup monies owed.
  • Keep a record– Be sure to keep a record of your conversation by taking notes while you talk. In doing so you are able to keep on ongoing log or record of your conversations that you can summarize later and send to the debtor via email or letter post. This will help prevent any miscommunications or arguments over what was and wasn’t said and should include any repayment plans if mentioned.

Recording your conversation

If you plan on recording the conversation, be sure to get the other party’s permission before you do so. You can check your state’s requirements for recording conversations at the following website https://www.rcfp.org/reporters-recording-guide/state-state-guide

Leaving messages.

It is a good practice to assume that any messages left for the debtor will be heard by other parties. Be careful not to disclose any personal information related to the debt to anyone other than the debtor.

On the other hand, if this is a business-related debt, full details regarding the debt can be left on any phone number related to the business or any personal number belonging to the directly related party.

Effective communication is one of many often difficult hurdles you can encounter when attempting your debt collection efforts. Employing a commercial collection agency like Stevens-Lloyd Group, Inc to handle things can help eliminate the learning curve when it comes to successful debt collection efforts.

Give us a call today – Toll-Free: (888) 882-2282

Debt Collection in Mexico – A List of Things Before You Begin

Companies doing business in Mexico tend to look at debt collection in Mexico from two points of view. One side of the argument sees debt collection in Mexico as too complicated and nearly impossible to do, while the other is lulled into a false sense of security due to the relatively uncomplicated and straightforward ease of

Companies doing business in Mexico tend to look at debt collection in Mexico from two points of view. One side of the argument sees debt collection in Mexico as too complicated and nearly impossible to do, while the other is lulled into a false sense of security due to the relatively uncomplicated and straightforward ease of collecting debt within the US.

The truth of the matter is debt collection in Mexico falls somewhere in the middle. Having this understanding will better equip you with your efforts when collecting debt in Mexico due to their rules and regulations, which is why we will always recommend you working with a Commercial Collection Agency.

That being said, should you choose to go it alone, use the following criteria as a checklist, per se, to help guide you in your debt collection in Mexico efforts: The size of the debt, the relationship and structure of the debt, documentation of the debt, and the challenges associated with the debt.

Debt Collection in Mexico Criteria:

The Size
The size of the debt owed should be the primary consideration made before pursuing your debt in Mexico. First, determine the size of the debt and what you costs will be associated with the collection process. Collecting debts internationally, especially in Mexico, can be relatively expensive, time-consuming and often times slow going. Look at things from an economic perspective and the weigh the cost of your efforts, especially your time needed, to determine whether your debt collection in Mexico efforts are worth these valuable resources.

The Relationship and structure
As we previously covered in our First article on Collecting debt in Mexico, before pursuing your debt collection in Mexico efforts, it͛s important to determine the relationship of the debt: is it consumer related or commercial? The response rate for consumer based debts is generally very low and less likely to be recovered, while commercial/business related debts tend to be more responsive and are often easier to recover in the collection process. Is the debt from a loan or is it from unpaid invoices or transactions? Also, what is the financial status of your debtor? Is there an interest of the debtor to use your goods or services in the future? Taking all of this into consideration will help you greatly in your debt collection in Mexico effort

The Documentation
Proper documentation is crucial to your debt collection in Mexico efforts. Contract, invoices, order forms, order confirmations, promises to pay, acknowledgments, any and all correspondence are essential in your efforts that will often make or break your chances of recovery, and will should you choose to take a legal route.

The Challenges
Debt collection in Mexico presents many complications, none more so that locating the debtor. Mexico is comprised of large, largely developed and urban areas, as well as obscure and remote locales; the former often present the easiest environment for collection efforts while the latter pose steep hurdles and challenges with your efforts. Turbulent socio-political changes within the country of Mexico affect areas differently making the rural locales the hardest affected.

Should you choose to go it alone and not use a commercial collections agency like The Stevens Lloyd Group, LLC in your debt collection in Mexico efforts, the above items – The challenges you face, having the proper documentation, the relationship and structure, and the size of the debt – are all things that are imperative for you to check off your list before you begin

Should you choose to go it alone and not use a commercial collections agency like The Stevens Lloyd Group, LLC in your debt collection in Mexico efforts, the above items – The challenges you face, having the proper documentation, the relationship and structure, and the size of the debt – are all things that are imperative for you to check off your list before you begin

Questions? Give us a call Toll-Free: (888) 882-2282

Are a business owner attempting to tackle debt collection in Mexico on your own? Using a reputable collection agency can often help make things easier relieving you of unnecessary burdens . Turning accounts over to an agency for collection may seem like signaling defeat or throwing in the towel to some collectors. Rather than take the defeatist attitude of ͞I can͛t collect this on my own,͟ take the attitude that collection is a team effort with you and your outside agency working together.

We invite you to give The Stevens-Lloyd Group, Inc. a try…
Place an account with us right now and see what we can do for you!

It’s easy. Here’s all you need to do:
Just fill out this convenient online placement sheet.

Once it’s sent, you’ll be on the road to discovering The Stevens-Lloyd Group, Inc. difference!

Answers to Questions Regarding Collecting Debt from Mexico

When it comes to collecting debt from Mexico, and using the services of an International Collection Agency like Stephens-Lloyd Group, LLC, questions often arise. From the type of debt we collect from Mexico and the processes we use, to length of time it takes to recover the outstanding debt and what we need from you to take the necessary steps, we͛ve received…

When it comes to collecting debt from Mexico, and using the services of an International Collection Agency like Stephens-Lloyd Group, LLC, questions often arise. From the type of debt we collect from Mexico and the processes we use, to length of time it takes to recover the outstanding debt and what we need from you to take the necessary steps, we͛ve received and answered them all.

Below is a list of the most frequently asked questions (FAQs) our firm receives regarding collecting debt from Mexico.

Collecting Debt from Mexico FAQs

Why should I use a commercial collection agency like Stevns-Lloyd Group, LLC to collect my debt from Mexico?
Sadly, the increase of trade with Mexico since the 1990͛s has given rise to a culture of non-payment of contracts and debt creating more and more debt recovery cases from Mexico. Collecting debt from Mexico can be a complicated process. As with all international debt recovery efforts, it͛s important to understand the laws and procedures of Mexico when attempting to collect on a debt. Every country has their own set of rules and regulations when it comes to international debt collection making it difficult for someone outside of an International Collection Agency like Stevens-Lloyd Group to handle.

What type of debt from Mexico do you service?
When it comes to collecting debt from Mexico, we work with all kinds of, both commercial and personal that result from an act of trade between two individuals or companies including contracts, personal loans, bank loans, lines of credit, credit cards, invoices, and more.

What is the debt collection process when collecting debt from Mexico?
We begin by attempting to contact the debtor in his/her home or place of business, making all attempts to recover the debt through amicable methods. Should these efforts be exhausted, we will then proceed with legal actions employing the services of some of the top International Collection Attorneys.

How long does collecting debt from Mexico take?
When collecting debt from Mexico, if we are able to establish a payment arrangement with the debtor upon the first contact, times of recovery may be expedited quickly. However, should the debtor choose to ignore our first attempts at contact, prove difficult in locating, or oppose paying, negotiations can take several months if not longer. Which is why it is important to hand over your debt collection efforts to a commercial collection agency like Stevens Lloyd Group, LLC as soon as possible.

Do I need to provide Stevens Lloyd Group, LLC with Documents when attempting to collect a debt from Mexico?
Yes. In fact, it is essential. Without the proper documentation supporting the debt (Invoices, promissory notes, contracts, agreements, payment commitments, lines of communication, etc.) it will prove very difficult for us to act on your behalf when collecting debt from Mexico. Please take a moment to read through our post on collecting debt in Mexico: 5 things to consider, we cover this topic in more detail.

Are commercial collection agency fees legal for me to add to the balance of the debt?
Yes, if legal proceedings are necessary while collecting debt from Mexico and there is a ruling of payment where the judge orders the debtor to pay any and all ͞costs and expenses͟ incurred by the plaintiff.

Do you have a question regarding collecting debt from Mexico not answered above? Give the Stevens-Lloyd Group, LLC a call today Toll-Free: (888) 882-2282
If you are a business owner struggling with collecting debt from Mexico, a reputable collection agency can often help. Turning accounts over to an agency for collection may seem like signaling defeat or throwing in the towel to some collectors. Rather than take the defeatist attitude of ͞I can͛t collect this on my own,͟ take the attitude that collection is a team effort with you and your outside agency working together.

We invite you to give The Stevens-Lloyd Group, Inc. a try…
Place an account with us right now and see what we can do for you!

It͛s easy. Here͛s all you need to do:
Just fill out this convenient online placement sheet.
Once it͛s sent, you͛ll be on the road to discovering The Stevens-Lloyd Group, Inc. difference!

Collecting debt from mexico

Tagged on: debt collection mexio
Mitch Stevens August 22, 2017 debt collection mexico, international debt recovery

Collecting Debt In Mexico: 5 Things to Consider

Ever since NAFTA entered into force in January of 1994, Mexico has become one of the largest trade partners of the United States (US). As such, and because of its close proximity, commercial collection agencies are receiving more and more debt recovery cases from Mexico

Ever since NAFTA entered into force in January of 1994, Mexico has become one of the largest trade partners of the United States (US). As such, and because of its close proximity, commercial collection agencies are receiving more and more debt recovery cases from Mexico

Most people see collecting debt in Mexico as a complicated and near impossible process. Though not impossible, as with all international debt recovery efforts, it’s important to understand the laws and procedures of Mexico when attempting to collect on a debt. Every country has their own set of rules and regulations when it comes to international debt collection making it difficult for someone outside of a Commercial Collection Agency to handle the debt recovery.

Unlike in the US, collection costs and interest are not standard. Though they are enforceable, most debtors in Mexico will use those as bargaining chips to negotiate a more favorable settlement. Also, the process of communicating with customers regarding the collection of accounts receivables (Also known as “dunning”) is not standardized making it difficult to communicate with your debtor. Your best option, in this case, is to send a notarized formal letter via a commercial collection agency.

Below are 5 things we believe need to be evaluated and considered before preceding with collecting debt in Mexico:

How old is the debt?
Before beginning your debt recovery efforts, it’s important to take note of the age of the outstanding invoice. As with all debt recovery efforts, the age of the debt is very important. Staying on top of your debt recovery efforts, especially when collecting debt in Mexico, is essential. Our client case histories show us, outstanding invoices older than 1 year prove very difficult to collect against.

Is your debt consumer or commercial?
Another important consideration before attempting to collect debt in Mexico is the relationship of the debtor. When it comes to collecting on consumer (personal) debts internationally, the response rate is generally very low and therefore less likely to be retrieved. Commercial/Business accounts on the other hand, or more likely to be responsive resulting in a full or partial payment of the outstanding debt.

What is the size of the debt?
When considering your collection efforts, it’s important to weigh the costs associated with collecting the outstanding debt; and by cost, we͛re not just referring to the out of pocket expense (i.e., time, energy, etc.). The time, energy and out of pocket expenses associated with your debt recovery efforts need to be tallied before you proceed. It might behoove you to ignore the relatively smaller amounts and shift your efforts toward the medium to larger debts.

Do you have the proper documentation?
As with all debt recovery efforts, in order for you to have leverage or legally enforce payment of the outstanding debt against the debtor, proper documentation is a must, especially when collecting debt in Mexico. Contracts, invoices, order forms, order confirmations, acknowledgments, any and all correspondence all qualify for proper documentation

Can you find them?
When it comes to successfully collecting debt in Mexico is the ability for a commercial collection agency to contact or even locate your debtor. Do you have up to date information on the company: Company name, including any legal entities, address, phone numbers, etc? Keeping this information current is important whenever you are doing business domestically or internationally as it will aid in the debt recovery process should the need arise.

Collecting Past Due Aerospace Industry Accounts: When To Quit

A question often arises in our offices from our aviation and aerospace industry accounts, “When should I stop my efforts collecting past due accounts?”
Aerospace Industry AccountsUnlike fine wines or select cheeses, past due accounts do not get better with age. Most Aerospace Industry Accounts make the mistake of waiting twice as long as they should before handing over their accounts…

A question often arises in our offices from our aviation and aerospace industry accounts, “When should I stop my efforts collecting past due accounts?”

Aerospace Industry AccountsUnlike fine wines or select cheeses, past due accounts do not get better with age. Most Aerospace Industry Accounts make the mistake of waiting twice as long as they should before handing over their accounts receivables to a commercial collections agency. For instance, did you know your chances of collecting past due accounts in-house drop 12% every 30 days?

When it comes to collecting past due aerospace industry accounts, it͛s important for business owners to remember, collecting on outstanding receivables is a financial process. Because we have an invested interest in our companies, we tend to treat collection as an ͞emotional͟ process instead of a financial one. Whether or not we make or lose money needs to be the determining factor when pursuing collecting past due aerospace industry accounts

For example, Collecting on an invoice that is less than 120 days old holds an 80% success rate while dropping to 40% collectible after that time frame. Because we still see the debt as outstanding, we mistakingly apply the same amount of time and effort trying to collect those older aerospace industry accounts as we do the new ones. Our motto: Don͛t spend a dollar chasing after a dime.

Early warning signs it may be time to stop your collecting past due aerospace industry accounts efforts
Customer avoids contact attempts
Refuses to sign personal guarantee
Customer breaks terms of original agreement Customer breaks their first promise
Customer only makes partial payments to buy more time.
Customer ignores demand letters

You have business to run. You have better things to do than spending your valuable time Collecting you past due accounts. Handing your outstanding debts and aerospace industry accounts receivables over to a commercial collection agency is often your best course of action

If you are a Aerospace Industry business owner trying to collect on past-due accounts, a reputable collection agency can often help. Turning accounts over to an agency for collection may seem like signaling defeat or throwing in the towel to some collectors. Rather than take the defeatist attitude of ͞I can͛t collect this on my own,͟ take the attitude that collection is a team effort with you and your outside agency working together.

International Collection Attorneys

As we covered in our last post on international debt recovery, we discussed a few of the obstacles you will encounter when attempting to recover a debt internationally, including understanding the laws and regulations of the many different countries and finding legal counsel within the jurisdiction of your debtor; both of which can be overcome by using an international collection attorney…

As we covered in our last post on international debt recovery, we discussed a few of the obstacles you will encounter when attempting to recover a debt internationally, including understanding the laws and regulations of the many different countries and finding legal counsel within the jurisdiction of your debtor; both of which can be overcome by using an international collection attorney.
International Collections Attorneys – What you should know

Depending on your debt recovery needs and the client you are dealing with, a multitude of dispute resolution and debt recovery situations could arise. Using an International Collections Attorney will help equip you and your business should you find yourself dealing with international cases involving any form of litigation, including debt recovery, negotiation, and/or arbitration.

Because the focus is solving international disputes, international collection attorneys provide their own unique form of services. Experienced international collection attorneys have developed a thorough understanding of applicable international laws – such as the Foreign Sovereign Immunities Act – dispute resolution, policies and practices by working and dealing with parties throughout the world; including foreign entities, sovereign nations and international banks.

International Debt Collection Attorneys usually possess a database of contacts throughout the world allowing them to gather the necessary information on your debtor allowing them to deal with complex international claims, judgments or arbitral awards and locate and recover any hidden assets your foreign debtor might possess

International Collection Attorneys can also review contracts and work with business owners to include provisions in their contracts that will allow their clients to collect attorney͛s fees and the interest owed on the debt in the event of non-payment. They can swiftly file litigation if necessary severing the very best chance in recovery monies you thought were lost.

Locating reputable International Collection Attorneys can be difficult, though not impossible. A lengthy search on the internet, speaking with (interviewing) those law firms directly, checking their reputation with past and current clients, should produce the confidence you need in the right attorney for your international debt recovery job. Or, you could eliminate the headaches and time-consuming task of locating the right attorney for the job take and hire a Commercial Collections Agency that specializes in international debt recovery.

By hiring a Commercial Collections Agency that works with top International Collection Attorneys, you will be able to focus your energies on your business instead of spending valuable time and resources on collecting delinquent accounts, effectively embracing the 5 benefits we listed in our last post: Communication, Cost Effectiveness, Legal, Risk Reduction and Reputation

Note: At the Stevens-Lloyd Group, Inc., we only work with the very best International Collection Attorneys. Contact is today to learn more about the law firms we work with.

International Debt Recovery – An Essential Skill

International debt recovery is the process of collecting delinquent or outstanding accounts in countries that are outside the creditor’s country of operations.
In order for businesses to be able to conduct operations and compete in today͛s international market and still make a profit, international debt recovery is an essential skill for multi-national businesses…

International debt recovery is the process of collecting delinquent or outstanding accounts in countries that are outside the creditor͛s country of operations.

In order for businesses to be able to conduct operations and compete in today͛s international market and still make a profit, international debt recovery is an essential skill for multi-national businesses to employ in order to maintain cash flow and clear their books of delinquent accounts.

As with domestic debt recovery, international debt recovery needs to have protections put in place for breach of contract or default to reduce risk and clearly state the parties that are responsible for financial harm to others during these commercial activities.

Though similar to domestic debt recovery practices, International Debt Recovery can be one of the most complicated actions your business will ever engage in as transnational debt collection efforts require knowledge of the many different financial regulations and acts of the many different nations your business may operate in. Just a few of the obstacles business run into when attempting international debt recovery include:

  • Understanding the laws and regulations of the many different countries.
  • Finding Legal Counsel within the jurisdiction of your debtor.
  • Consolidating your collection efforts across multiple countries, time zones, and currencies.
  • The language barrier: Communicating/negotiating with the debtor in their native language

For this reason, it is always best to contact a commercial collection agency that has experience in international debt recovery. Collection agencies know whom to contact within their database of representatives that are familiar with the debt recovery practices governing different nations and international bodies. Benefits include:

  • Communication: Commercial debt Agencies often maintain multilingual representatives aiding them in communication and negotiation with your debtor in their native language.
  • Cost Effectiveness: Working with a commercial collection agency in regards to International Debt Recovery can reduce time-consuming costs business often run into when handling it internally
  • Legal: International Debt Recovery agencies are familiar with and are able to operate within the governing laws applicable to specific countries.
  • Risk Reduction: International Debt Recovery Agencies are experienced and highly qualified in transnational collection efforts allowing them to recover your debt faster while at the same time reducing your risk of unsuccessful debt collection.
  • Reputation: Since International collections agencies act on behalf of the original creditor focusing not only on the debt recovery but on preserving the reputation and brand of the creditor.

Hiring a commercial agency that specializes in International Debt Recovery definitely has its benefits. Creditors can focus their energies on their business instead of spending valuable time and resources on collecting delinquent accounts

Note: Using an International Collection Attorney for your International Debt Recovery needs is a smart choice that will often bring higher recovery rates than most international businesses are accustomed to. Click the following link to learn more about International Collection Attorneys and how they can help you International Debt Recovery efforts.

Writing Your Final Demand Letter

What do you do when all other debt collection attempts fail? You have a choice: either let it and your money go or take the matter to the courts. In the case of the latter, in order to file your suit, a written final demand letter is highly recommended by most small claims courts and is in fact required by some…

What do you do when all other debt collection attempts fail? You have a choice: either let it and your money go or take the matter to the courts. In the case of the latter, in order to file your suit, a written final demand letter is highly recommended by most small claims courts and is in fact required by some

Always keep in mind that placing your debt collections in the hands of the court is the last thing you really ever want to do. You want to collect the monies you are owed, not jump through more hoops and invest more of your precious time leaving the decision in the hands of individuals not familiar with all of the facts. This is where the Final Demand Letter comes in. It conveys the need to pay while simultaneously fulfilling your legal requirements. A properly worded final demand letter results in payment in as many as one-third of all cases. We͛ve found that the written word is far more powerful at this stage of the game than verbal communication.

Think about the times you were embroiled in a heated debt collection situation. After exchanging angry words, perhaps even the threat of legal action, what happened? If you͛re like most people, nothing, you didn͛t pursue the claim.

Things change when you write your final demand letter. In your letter, lay out the reasons why the other party owes you money. Be clear to state if payment is not received, you will be left with no other option than to take the matter to small claims court or hand the account over to a professional debt collection agency. With the written word in hand, instead of just another voice of yet another bill collector, you and your claim take on a sobering reality.

With a final demand letter in hand, the debtor must now face the reality that you have no intention of simply going away but will take the matter before the courts or place your account in the hands of a collection agency.

Things to include in your Final Demand Letter
When writing your final demand letter, keep the following points in mind, regardless of whether or not you intend on pursuing them in small claims court

The Opening – Be firm. Immediately grab the readers attention by getting straight to the point of your letter.

Heavy Language – Reference Fine print or legalese in your contract or work order. This will add a serious tone to letter, especially if the customer has signed their name on the same document.

Demand Payment – It is imperative that you express exactly what it is you want. Ask for a specific amount of money to be paid, or for some other specific action to be taken, by a set date.

Consequence – State your intention near the end of the letter and give your customer an opportunity or a potential “out” of this situation (ex: Pay now and preserve your credit rating.).

Closing – Be Polite and professional. Though your attitude is firm and to the point, refrain from any personal attacks or antagonistic language in your final demand letter. You want the recipient to thinking upon receipt of your letter: How much of my time will this take? What are the consequences if I lose? How much more will my additional expenses be? You will often find the other party will be open to making a compromise or settlement.

Be sure to enclose a copy of your invoice or work order and be sure to review the history of the entire dispute. A judge or hearing officer will want to review your letter to familiarize themselves with the facts of the case.

Be sure to send your final demand letter by certified mail. This not only provides you with receipt confirmation if conveys the message to the recipient that you mean business.

(Though not used as much anymore, some business still handle everything via fax. If faxing the letter, be sure to print a confirmation report from your fax machine and attach it to your copy of the letter for proof.)

Note: If your debtor is a corporation, mail your final demand letter to the Statutory Agent, copying the debtor. You can call or visit their Sectary of State͛s website to obtain that information. If the debtor is not a corporation, be sure to mail your letter to the owner or partner; avoid sending it to a manager or clerk. You can pull the credit application you have on file to find the names of the owners, partners or corporate officers. You want maximum impact and who you send your final demand letter to can make all the difference.

Do you have questions regarding your final demand letter? contact The Stevens-Lloyd Group, Inc today. We͛ll gladly walk you through the process.

The Collection Professional: Your Debt Collection Teammate

Quick turnover of delinquent accounts is essential to you as a business owner. When working with a commercial collections agency, viewing your collection professional as a member of your “debt collection team” will prove to be an integral part in accomplishing this goal…

Quick turnover of delinquent accounts is essential to you as a business owner. When working with a commercial collections agency, viewing your collection professional as a member of your “debt collection team” will prove to be an integral part in accomplishing this goal.

As anyone who has participated in any kind of team-related efforts can attest, working together ie essential to your success. By providing your collection professional with a well-documented collections file, you will help them avoid any time-consuming efforts that are associated with gathering the information they need for collections purposes. Many of the necessary documents your collection professional will need have most likely already been collected by you and are already in your client͛s files.

Having previously placed a file for collections, you no doubt have most, if not all of the necessary documents available to you. These documents will ͚arm͟ your collection professional giving them the necessary ammunition to communicate and demand the outstanding debts and receivables from your debtor. Such information would include name, phone number, address, legal identity, etc. Sharing this information with your collection professional helps breed the spirit of teamwork between you.

Proper documentation given to your collections professional at the beginning of your working relationship will allow the collection professional to handle the claim on your behalf, as well as aid in the expediting of the collection process, and provide you with solid legal footing in the process.

Your collection professional knows that good documentation is essential in your efforts and working in tandem with them by providing them with this information at the beginning can very well speed up the debt collection process.

The following is a checklist of documents that will assist your collection professional:
Credit application (or equivalent). This is often the most crucial document as it usually contains:

Debtor’s full name
Debtor’s physical address
Debtor’s legal identity (i.e., corporation, partnership, or sole proprietor.).
Nature of debtor͛s business
Trade references Social Security Number (SSN) or Employer Identification Number (EIN)
Note: Always obtain a Social Security Number of an individual who is personally obligated for your debt

Promissory Note. Though not usually part of the typical goods transaction, having one on hand to be filled out by the debtor is a good practice to engage in when your forbearance of the collection process and a payment plan is requested by the debtor.

Name, Physical Address, and Phone Numbers of any cosigners, guarantors, or companies and/or persons liable.
Principal and Interest after credits Statements
Documentation, handwritten or electronic, of any and all contacts and collection efforts made.
Any Contracts
Purchase Orders
Delivery Receipts
Copies of Non-sufficient Funds (NSF) Checks, notices regarding NSFs required by State Statutes, Or Notices under the Fair Debt Collections Practices Act
Payment Arrangement Confirmations
Security Documents, Agreements, and Legal Notices
Credit Reports, Annual Reports, and/or Financial Statements.
Photocopies of debtor͛s checks (cleared)
Note: You should make it a practice to occasionally make a copy of any checks paid on accounts, especially new accounts.

Notices of Bankruptcy, including bankruptcy of any guarantors or other companies or persons liable for the debt.

Not every document listed above is essential to assist your collection professional in the debt collection process. However, using the above list of documents as a guide in developing your customer files, will assist you should the debt collection process ever become a reality and make you a clutch player for your debt collection team.