Starting the co-operation with a debt collection agency or switching the debt collection agency used may be deemed to be a difficult process, but it is not. A good partnership with a debt collection agency is the key to profitable and cost-efficient business. This article provides you with assistance to starting co-operation with a debt collection agency.
When your company is starting co-operation with or switching its partner to CreditVisor, we will assist and always make sure that the change will be smooth. We will provide you with all the necessary assistance and support from day one of the partnership.
Partnership with a debt collection agency
Once the co-operation with a debt collection agency begins, it is important to consider a few matters. One example is informing the customer base of the change of partner in connection with invoicing.
It is our goal that in spite of debt collection, your customer will continue to be your customer also tomorrow. When the debt collection is carried out in a way that understands and respects the customer, your customer will be left with a good notion of not only the debt collection, but above all of your company. The customer relationship will continue even after debt collection measures, perhaps even stronger than before.
In short, the debt collection process with the client proceeds like this:
The partnership begins with a co-operation agreement between CreditVisor and the client. Then, the assignment is registered and voluntary debt collection measures are commenced.
If voluntary debt collection is not successful, the next step, if the client so wishes, is judicial debt collection. After this, the court decision is submitted to the enforcement authority for recovery proceedings.
Progress of the debt collection process in a nutshell:
- Agreement with the debt collection agency
- Registration of the assignment
- Commencement of voluntary debt collection measures
- Debt collection by letter
- Debt collection by telephone
- Debt collection by bill of exchange
- Judicial debt collection proceedings
- Preparing a summons
- Dispute process
- Settlement of receivables to the client
What does voluntary debt collection mean?
In short, debt collection refers to collecting the payment of an unpaid invoice or other debt. Debt collection agencies take care of voluntary debt collection, and their operations are regulated by the Debt Collection Act. The main means of voluntary debt collection are debt collection by letter, or payment reminders and payment demands, and telephone negotiations and the preparation of payment schedules together with the customer.
Debt collection commences after the due date of the invoice. The purpose of the payment reminder is to get the customer to pay the debt or prepare a payment schedule, taking the customer’s financial situation into consideration. Sometimes, it is easier to agree on a payment schedule with a debt collection agency than with the original debtor. Debt collection agencies comply with the Debt Collection Act and good debt collection practice in their operations. In addition, our way of working and values include lower debt collection expenses for small principal sums.
Voluntary debt collection does not result in a bad credit record for a consumer customer.
Why choose CreditVisor as the debt collection partner?
We are a robust expert in credit management, and customer satisfaction is the cornerstone of our operations. As a reformer of the debt collection sector, we want to bring more positive mental images to debt collection. As a company’s credit management partner, we want to offer the end clients a positive customer experience. We believe that well-managed debt collection also provides a positive image of the client and accelerates cash flow.
Our services include a payment reminder service, for example, to find a solution quickly and foresee major payment difficulties. The clients’ credit management remains efficient and the end client is left with a good experience in spite of the temporary delay in payment.
Are you looking for a trustworthy debt collection agency with good service?
You can contact our team easily by e-mail to[email protected] or you can also easily submit a contact request via the chat service. Our experts will be happy to help you in questions relating to credit management and receivables.