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  1. #1

    Collection Agencies

    Can anyone suggest some decent collection agencies we can use to collect debts from people in the US? We are located in Canada.

    Thanks.
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  2. #2
    Join Date
    Mar 2004
    Location
    Vancouver Island, BC
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    Do you have a good one for Canada?

    I haven't used one for years (I generally just write off them now and only give 60 days to pay or suspension), last time I did though we had to buy 10X $20 "coupons" which we used up each time we submitted a new delinquent to them.

    Didn't really get us far either, I don't think anyone bothered paying them either.
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  3. #3
    Join Date
    Aug 2000
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    NYC
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    FYI, here's a recent thread on collection agencies, with a couple of recommendations: http://www.webhostingtalk.com/showth...hreadid=239103

    Note that many US-based agencies will be licensed only in their home state or maybe a couple of neighboring states and so won't be able to take action on debtors living elsewhere even within the country.
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  4. #4
    Join Date
    Feb 2004
    Location
    Southern California
    Posts
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  5. #5
    we use olddebts.com

    flat fees

  6. #6
    Join Date
    Feb 2004
    Location
    Southern California
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    749

  7. #7
    Join Date
    Aug 2002
    Location
    Seattle
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    I'm not too fond of 3rd party collection agencies personally. What province are you in?

  8. #8
    Join Date
    Nov 2000
    Location
    San Diego
    Posts
    3,407
    We collect on every, single debt owed to us. Whether it is $10.00 or $1000. Why? Becuase people who received rendered services and then do not pay for those services should not be allowed to fall through the cracks. Too many small businesses write them off and then the person does it to the next provider. When they owe us money, we send it through to a third party. They attempt collection and if they fail, they report it. This takes no time for us and cost us what is covered in Late Fees.

    Also, I understand many do not use third parties because they can be aggressive and people feel they might not come back to you for service. Well, if they owe you money, they are not coming back anyway. And as far as bad word of mouth goes, people do not like telling others that their old host sucks because they sent them to collections.

  9. #9
    Join Date
    Oct 2003
    Location
    New Bedford, MA
    Posts
    79
    We have had very good results with www.arhelp.com. When you call speak with Mark Zanders. Be sure to tell him Scott from NDC sent you

  10. #10
    Join Date
    Aug 2002
    Location
    Seattle
    Posts
    5,512
    As a former collections associate myself, I can safely say that people as a whole, with the handful of exceptions, have no problem letting everyone know about their collections issues. Why not? I'ts not their fault, right?

    I agree with UmBillyCord, you can't let people get away with any level of deliquency. Collect to the fullest extent possible and make a reputation for yourself.

  11. #11
    Originally posted by InfexionKen
    Might wanna seriously consider how much is owed before contacting a collection agency, its usually not worth it :/
    Collection agencies (unless working on a flat rate) are only paid a percent of what is collected. Therefore, if it is going to take ZERO time/effort on our part, we generally assume that something is better than nothing. Plus, as UmBillyCord and DeathNova have stated, it would just be too easy for us to let things slide and pass the problem on to the next company - we don't like doing that.

    As far as what you would call a decent amount, I'm curious to know if you generally walk around the streets dropping $5.00 bills at random along the way? No? Why not, that's a small amount, I'm sure you won't miss it? I hope you get my point. But just to let you know the amount is close to 4-figure.

    We have placed the collection with www.commercialcollectors.com and so far their contact and support have been superb. No idea how their success is going to be just yet (only placed the debt yesterday). I'll let you know.
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  12. #12
    Join Date
    Aug 2001
    Posts
    4,028
    I found collections agencies completely useless to be honest. Had a client owing $4050. Had 3 collections agencies total and this guy would not pay.

    We just forgot about it. Not worth the hassle.

  13. #13
    Join Date
    Nov 2000
    Location
    San Diego
    Posts
    3,407
    Originally posted by Mekhu
    I found collections agencies completely useless to be honest. Had a client owing $4050. Had 3 collections agencies total and this guy would not pay.

    We just forgot about it. Not worth the hassle.
    It isn't a race. An amount like that will be reported. So it will be on the credit record for sometime. That means no houses or cars while it is. That is when they pay.

    But the majority will not settle debt. That is life. I know tons of people with crappy credit due to delinquencies. They do not care. Also, we see a hell of a lot of bankruptcy notices too.

    Also, you say hassle. How much did you have to do. We automate our systems with our collection agency. Takes us 1 moniue to submit. Then the rest is up to them. Stick to your guns on collections.

  14. #14
    Join Date
    Aug 2002
    Location
    Seattle
    Posts
    5,512
    We stopped using collection agencies a while ago. Now, we use a legal provider service to write demands on attorney letterhead. Its definately more effective.

  15. #15
    Join Date
    Aug 2002
    Location
    Jena, Louisiana
    Posts
    107
    Just an idea....

    Check with your local attorneys about their collection services. I know for the other businesses I own, we use a local attorney for collection charges. His charges are usually a flat fee (usually a couple dollars) + a % of the amount being collected.

    Best thing of all, he puts the collection letter on their law office letterhead. It will surely catch the eye of the individual of whom owes you money.
    * TechEGlobal - http://www.TechEGlobal.Com *

  16. #16
    Join Date
    Apr 2003
    Location
    Ottawa, Ontario
    Posts
    151
    Attorneys are defintely the way to go. Collection agencies use lawyers to get the money, so you can sidestep a bit of the costs involved by retaining an attorney for collection services. Just be sure to do your research and get an attorney that knows what (s)he is doing.

    I'd have to say that if you can get a good attorney, that's probably best. First of all, if your retain an attorney for collection purposes, they're going to be dedicated to the collection of your funds and only your funds, as opposed to a collection agency, where they have many clients they collect for. Secondly, if you have an attorney on retainer you can also get them to do the legal odds and ends for you as well - it still costs money, of course, but if they have the gaurantee of being in some sort of agreement for you into the future, then they'll usually knock a bit off the price. Third, a good attorney knows all the laws and statues and knows exactly when, where, and how to collect money for you. Finally, as TechEGlobal noted, having the collection done by a law office can add a certain amount of muscle to the collection. People are less likely to disagree with an attorney, especially if you have an experienced, well-known attorney.

    The only con is that if you have an attorney collecting fees, it can be seen negatively as a strong-arm tactic.
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    President, Viridian Tower Electronics

    (Formerly Creative Director of LiquidFire Network Solutions 2003-2007)

  17. #17
    Join Date
    Aug 2002
    Location
    Seattle
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    I would look for a flat rate attorney, you shouldn't have to pay a % of any type.

  18. #18
    Join Date
    Apr 2003
    Location
    Ottawa, Ontario
    Posts
    151
    Most new attorneys will charge only a flat rate. As you get attorneys with more experience, that is where you start getting the % thrown in. So it's a trade-off. Which way you go is entirely up to you.
    Peter M Dodge,
    President, Viridian Tower Electronics

    (Formerly Creative Director of LiquidFire Network Solutions 2003-2007)

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