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What Is a Debt Collector and Why Are They Contacting Me?

Taurus Collect

A debt collector might sound like a character from a Charles Dickens novel, but if you’ve been contacted by one, you know they’re very much a reality of modern financial life. Why Are They Contacting Me? Your Rights : As a debtor, you have rights that you can and should exercise. So, what exactly is a debt collector?

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Debt Collection through Email, SMS and Social Media

Nexa Collect

Several collection agencies have been using electronic mediums like emails, social media platforms, and SMS to contact debtors. To a standard person, it may appear that contacting a debtor either way (traditional or electronic) is the same, a contact made is a contact made regardless of the medium.

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When dealing with an international debtor as a collector based in the United States, there are several steps you can take to increase your chances of collecting the debt.

Collection Industry News

Gather information: Start by gathering as much information as possible about the international debtor. This may include their contact details, business information, financial records, and any documentation related to the debt or contract. Here are some recommended steps to follow: 1.

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What Happens if you Ignore Debt Collection Calls

Nexa Collect

If you do not dispute the debt within 30 days of the first contact made to you (through phone or letter or other permissible means), the debt is considered valid, and the debt collector can continue to contact you. However, most unpaid bills are reported on the debtor’s credit report and stay there for seven years.

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Are you owed money by another business? You MUST do this first

Collect More

The Australian Government’s ABN lookup site www.abr.business.gov.au If they’re a partnership then contact the other partner and request payment from them. Knowing your debtor’s business structure gets you one step closer to your money. Knowing this information is absolutely vital if you want to get paid.

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Average Recovery Rate of a Collection Agency

Nexa Collect

Collection Agency itself: A collection agency that follows a friendly approach makes persistent contacts, follows legally complaint tactics , yet a firm approach will recover maximum money. Debtors are less likely to pay when they feel threatened. They must know how to recover the debt diplomatically instead of forcefully.

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What Are the Crucial Steps in the Debt Collection Process?

Taurus Collect

Establishing Contact with the Debtor The first step in the debt collection process is establishing contact with the debtor. This often involves several key actions: Initial Communication: A business or a debt collection agency, like a debt collection agency in Derby, will send a letter of demand to the debtor.