Can someone recommend me a good collection agency?

[fuzzybabybunny]

I'm in the Bay Area. I've got some problem clients that aren't responding to any communications on seriously overdue invoices.

 

[MagnusTheBrewer]

There is no such thing as a "good" collection agency. They don't collect the debt for you, they buy it from you. Depending on the amount and the kind of client, you may get .20 on the dollar.

 

[SlitheryDee]

I guess when it comes to collections agencies, the "worst" ones might be the best, at least when you're the one trying to collect. I wish I could remember who it was that collected on my defaulted student loans. I know for a fact that the check was written to the original creditor, so the debt wasn't sold to the collection agency.

 

[MagnusTheBrewer]

I guess when it comes to collections agencies, the "worst" ones might be the best, at least when you're the one trying to collect. I wish I could remember who it was that collected on my defaulted student loans. I know for a fact that the check was written to the original creditor, so the debt wasn't sold to the collection agency.

There's just a teensy tiny difference between owing the government and owing a private party ya know.

 

[Baked]

Call your neighborhood triads homie.

 

[SlitheryDee]

There's just a teensy tiny difference between owing the government and owing a private party ya know.

Oh yeah. I know that from experience, but who knows what they do for regular businesses?

 

[RossMAN]

http://www.switchboard.com/business/CA/San-Francisco/Collection-Agencies-and-Repossessions

 

[ponyo]

Pay a visit to your clients in person. It's easy to ignore phone calls, emails, and letters. It's harder to ignore you when you're standing and talking face to face.

 

[fuzzybabybunny]

Pay a visit to your clients in person. It's easy to ignore phone calls, emails, and letters. It's harder to ignore you when you're standing and talking face to face.

It's also more hassle for *me*

These are relatively small amounts, like $300. Doesn't warrant a visit from me.

I'd rather just threaten them with collections via email or phone and send them to collections and move on.

 

[fuzzybabybunny]

There is no such thing as a "good" collection agency. They don't collect the debt for you, they buy it from you. Depending on the amount and the kind of client, you may get .20 on the dollar.

I know. I need a collection agency recommendation.

 

[OutHouse]

Lien them

 

[yinan]

The mafia?

 

[highland145]

Pay a visit to your clients in person. It's easy to ignore phone calls, emails, and letters. It's harder to ignore you when you're standing and talking face to face.

This.

It's also more hassle for *me*

These are relatively small amounts, like $300. Doesn't warrant a visit from me.

I'd rather just threaten them with collections via email or phone and send them to collections and move on.

Then forget about it.

 

[Genx87]

I'm in the Bay Area. I've got some problem clients that aren't responding to any communications on seriously overdue invoices.

Why dont you go down to the court house and file a lawsuit against these deadbeats?

 

[Genx87]

Lien them

Exactly. For such small amounts it is worth the pleasure of watching their asset be tagged by the sheriff for auction to pay the debt.

 

[highland145]

Exactly. For such small amounts it is worth the pleasure of watching their asset be tagged by the sheriff for auction to pay the debt.

Depends on his state. Here, $80 for the summons/complaint, $10 to file the judgement, $25 for the execution at the sheriff's office, useless if they have no real/titled property. Let's say they have a vehicle, $900 more for the sheriff's office to pick it up/store it/auction it and the lien holder gets paid 1st, if there is one. If it's auctioned for less than the lien, I could be on the hook for the difference.

I could hire a lawyer and file suit with the master in equity court. They can demand financial records to show the person has the ability to pay and collect the $$.

All for $300. Sucks but not in a good way.

 

[EagleKeeper]

Small claims court.

Best to send certified mail to them stating that you will be filing a lawsuit against them for the debt unless it is paid within x days.

On x+4 day (allow for mail delivery); you then spend time at the courthouse filing the suits.

Already have all the documents prepared for each debtor to cut back courthouse time.
Proof of contract
Proof of attempt to collect the debt
Filing forms (filled out - obtained via clerk in advance).

Now the debtor will have to answer to the court.
The fees you incur get tacked onto the original bill.
If they do not show up; then you file for a garnishment.
Again the fess are tacked on.

Government collects the payments, takes their cut and sends you the rest.
Once you have been paid back the original debt plus all fees/expenses incurred, you notifiy the government that the garnishment is lifted.

 

[highland145]

Have to check his state to see if they allow garnishments. S.C......not, ftl.

 

[Raizinman]

Hire Jimmy the Neck.

 

[Genx87]

Depends on his state. Here, $80 for the summons/complaint, $10 to file the judgement, $25 for the execution at the sheriff's office, useless if they have no real/titled property. Let's say they have a vehicle, $900 more for the sheriff's office to pick it up/store it/auction it and the lien holder gets paid 1st, if there is one. If it's auctioned for less than the lien, I could be on the hook for the difference.

I could hire a lawyer and file suit with the master in equity court. They can demand financial records to show the person has the ability to pay and collect the $$.

All for $300. Sucks but not in a good way.

In MN went to small claims court, won judgement, the costs for filing were included in the judgement. The person who lost had time to pay up or we tagged property of theirs and had the local sheriff take possession of it for auction. I dont know why if it got that far we would be paying for the sheriff to do this or why we would be on the hook if the auction is less than the lien holder. We have a judgement against that party.

 

[Greenman]

A whole bunch of time consuming effort for $300. Sell the paper to whatever collection agency will pay the most for it and walk away.

Though I have to wonder how anyone got in arrears. I would assume that most of your business is taking pictures of listed homes, and that all of it is paid out of escrow?

 

[Soundmanred]

They don't pay because they know they don't have to, and they know you won't do anything about it.
Unless they haven't met you in person.

 

[Capt Caveman]

Baseball Bat

 

[gamefreakgcb]

Baseball Bat

Reply befitting your username. :ninja:

 

[brandonb]

I work for a collection agency. However, most collection agencies won't touch it unless there is at least million in outstanding debt. Just not worth the time and effort for a few thousand. Maybe brand new agencies, but not an established one.

Just this one client I'm looking at right now has about $17 million in inventory placed with us.

There is about a 10% rate of contact on the high end (typically around 5%), and with a 20% fee on the high end (typically about 10%). That equals about = $1.7 million from contacts, 20% fee on that $340,000 that we could potentially collect and it goes down from there. Contrary to the poster above, most established collection agencies do not buy paper/debt which has been called many times over. They work directly with the client as they are the fresh accounts.

If you don't have the inventory its probably not worth the effort of getting it figured out.

PM me if you have inventory.