The reality is that when your customers/patients know they are behind in their obligations to you, they tend to shy away from doing additional business. Most receivables are retrieved within the first 90 days, thereafter you will begin to experience an exponential decline in your ability to collect. The sooner you get these accounts into the hands of a professional agency that will treat your customers/patients in a dignified manner, the greater the probability of achieving collection. More importantly the sooner these individuals can return, in good conscience, to doing business with you.
The old stereotype collector who hassles the customers/patients, proves to be both illegal and ineffective. We at F.A.S.T. recognize that most people are not individuals who have purposely intended to defraud our clients, but are rather honest persons who may have fallen on some bad times. Our goal is to: treat the consumer with dignity; to remind them of the value of the service you have rendered; and to convince them of the propriety of meeting their obligation to you. If we can we will go even further and render them valuable education, teaching them how to rectify their current economic misfortune, so as to get their financial situation righted.
Many business fail to turn over accounts to a professional debt collection agency, because they fear they will be spending good money chasing after bad. Here at F.A.S.T. our services are rendered on a contingency fee basis, therefore if we don't collect, you owe nothing.
No! The main reason that most claims end up in litigation and subsequent judgment is the debtor's failure to try to work things out with the creditor. Even if you feel you can't meet the obligation, communicating this information is always the best course to follow. Remember that failure to communicate, in actuality, communicates that you don't care about your obligation and you intend to do nothing about it. So call the number listed on the notice you have received, cooperate with the creditor or their representative, and together you should be able to come up with a solution that works for all parties concerned.
In most case the answer is no. The only time you should realistically think of filing bankruptcy as your remedy, is when your unsecured credit responsibilities equal or exceed your annual salary. Whether you file a complete bankruptcy known as a Chapter 7, or a principal repayment plan known as a Chapter 13, recognize that these credit blemishes will remain on your credit profile for some 7 - 10 years, and will affect not only your future borrowing power, but may potentially impact your employment opportunities. In our current economic times, if you can avoid filing bankruptcy do so if at all possible!
No! Unless the notice you have received from the collection agency specifically instructs you to pay the original creditor, you should remit payment as instructed. Failure to do so could actually have an adverse affect on you credit score. If the collection agency is a credit reporting agency, once they have reported to the credit bureaus that you have been placed in collection, it will not show that the account has been satisfied until they have received their contingent fee for assisting in the collection of the claim. So by sending the money directly to the original creditor, you are actually slowing down the posting of the satisfaction of the debt.