How to collect unpaid debt and settle disputes
We are living in a day and age in which many people find themselves in tough financial situations. With more than 6 million Britons believing they will never be debt-free (https://www.theguardian.com/money/2017/oct/30/average-uk-debt-at-8000-per-person-not-including-the-mortgage), more businesses are turning to collection agencies to receive what they are owed.
Why turn to debt collection agencies?
As a business, being owed money is never a great situation to be in, but in order to maintain a good public image, many businesses are now seeking assistance from outsourced credit agencies to collect said debts. By having an external debt collection agency handle any disputes which may arise, this allows your staff to dedicate themselves to their roles, and will not cause any issues with staffing.
Whilst being owed money is not ideal, the collection of the outstanding debt can often be a stressful process, for all parties involved. Many of those who have found themselves in debt have not done so willingly, and many of them can feel as though their debt is controlling their life. External debt collection agencies are specialists in handling any situation which may come their way, but they are also highly skilled in negotiation.
Ensuring debt is paid off in full
Collecting a debt in full is never going to be a likely possibility, so by offering flexibility and agreeing to a payment plan, this can ensure that the person can afford their repayments. Demanding a large sum of money can often lead to negative altercations, and many people simply do not have the funds to pay off their debts in full. Debt collection officers are able to talk with the debtors to work out a solution for both them and for the business party involved.
Quite often, when someone finds themselves in debt, they can bury their head in the sand, worrying about the money owed, as they do not believe that debt collection agencies have their best interests at heart. Many people have a negative view on outsourced debt collection agencies, thinking that they will not leave them alone until the debt is recovered, and that they can be rude and aggressive. This is not the case, and in many cases, a resolution can be reached calmly. By being compassionate and understanding, allowing debtors to set up payment agreements which are affordable for them, many debts are often paid back in full.