What is a Professional Debt Collection Agency?
A professional debt collection agency is a specialized business that collects past-due and unpaid accounts for creditors. Professional debt collectors are third parties to the transaction that created the debt. They collect for the creditor, but are not employees of the creditor.
What types of clients does MCS collect for?
We collect for any business that extends credit terms, has unpaid accounts or accepts checks for products provided or services performed. We collect on both consumer and commercial debts, including returned checks, charge offs and deficiency balances. Our clients include doctors, veterinarians, financial institutions, retail establishments, service providers, pharmacies and more.
Why are accounts referred to collection?
Most accounts are referred to collection because they have gone unpaid for a long time and the creditor has not received any communication from the consumer. People who provide goods and services on credit rely on their customers' promises to pay. While they value their customers, they must also depend on payment to meet their own expenses. The longer an account remains unpaid, the lesser the likelihood that it will be paid. Before you write off an account, refer it to a professional debt collector.
When do I send an account over for collection?
As soon as possible! Any account that is 60 days or more past due can be referred to collection. As time goes by, events occur that render some accounts uncollectible. Statistics show that after six months, the chances of collecting a debt is about 50%.
How do I send an account over for collection?
We can receive new account information by mail, email, fax or in person. We have forms that can assist you in the type of information we need to best recover your money. All accounts assigned to us are activated upon receipt and a letter will be mailed notifying the debtor the account has been placed for collection and all communications regarding this matter should be handled through our office. The debtor has 30 days to dispute the debt, and generally we start contact by phone on the 31st day to attempt to collect the debt.
What happens if a debtor has moved?
MCS has an excellent skip tracing department that utilizes a variety of resources to locate new addresses. We can pull credit reports, driver licenses searches and research public records.
What will it cost me if you don't collect?
A 20% collection fee will be accessed for early withdrawal of accounts.