Using a Debt Collection Agency
It could be claimed that the same service as a debt collection agency is provided by an internal credit management department. However, while being more cost efficient, a debt collection service may also have better outcomes. It is also not necessary to underestimate the effects of a third party debt management agency being involved. Sometimes, the moment a debtor has to settle an unpaid account may be a simple request for payment from a third party entity. You can learn more at Bedford Debt Recovery Agency.
A debt collection agency will also provide the central business of debt recovery with additional services. For example, in addition to debt collection services, a collection agency can also provide legal services, enquiry agents, process serving, company searches, credit reports & company forming. Therefore, an organization offering all of these services will be a “one stop shop” with all your criteria for credit management.
A debt management agency may also have its own legal department in the house that hires lawyers & legal clerks. These companies offer a real alternative to the conventional option of hiring a lawyer, often at a fraction of the cost. A debt management firm with an in-house legal department also offers a far more professional service than a company of lawyers who might not be debt recovery specialists.
Debt collection agents often have an image that is less than ideal. Much has, however, been done in recent years to regulate the industry to ensure that an effective & ethical service is delivered at a fair price. Ensure that the applicable regulatory bodies oversee and hold the requisite licenses & accreditations for any debt management organization you consider to be involved.