The Benefits of Instructing a Debt Collection Agency

The Benefits of Instructing a Debt Collection Agency

Do you have a history of experiencing the stress of someone who has not paid you for one reason or another?

This is a subject that is unfortunately common amongst most businesses and accounts teams alike.

In a recent article, it was discovered that there has been an increase of 23% in terms of unpaid business invoices in the UK.

When this happens, it is important that you take the steps necessary to ensure a successful recovery of your money.

You may end up reducing the chances of a positive outcome if you let a debtor get away with their actions.

Businesses are not the only ones who have to deal with such issues however.

In recent years, people owing money to private individuals has started to become an even bigger issue.

Unbeknownst to most, there are actually quite a few ways in which a private individual can be owed money.

One reason could be that a friend, family member or partner has borrowed money off them and has failed to return it.

Another could be that a self-employed individual has carried out work for a customer and they have not paid them for this.

This should outline how detrimental debts can be, regardless of who you are or where you work.

If you are hit with late payments or unpaid invoices, you need to act quickly.

The best method for Commercial, Private and International debt recovery is through a debt collection agency.

In this article, our team of experts have put together a list of the benefits of instructing a debt collection agency to recover your money.

The Benefits of Instructing a Debt Collection Agency

Got Any Questions? Get In Touch Now

Our team of Debt Collection Experts are happy to help with your enquiries.

The Benefits of Instructing a Debt Collection Agency – Comparing Other Methods

It is no secret that there are a large number of ways in which you can collect money that is owed to you.

Granted, some methods are better than others, but some have quite a number of disadvantages.

For example, a common method is for a company or individual to try and recover the debt themselves.

Independently trying to recover a debt is not only time-consuming, but can waste a lot of internal resources…

…which should be used to carry out beneficial tasks such as growing your business.

Another debt collection method that is commonly used is through Solicitors.

Solicitors are expensive to use, as they tend to use price-drip strategies throughout their services.

This is not good practice and will end up costing you more than your debt was worth in the first place.

Not only this, but they are known for their lack of communications throughout the collection process.

When your debt collector doesn’t communicate with you, this can give you the opposite of peace of mind in what is an already stressful situation.

This is why the best method to recovering your money is by instructing a debt collection agency.

A businesses credit control team is only necessary for the chasing of unpaid invoices. When a client shows no signs of paying this should be escalated higher.

What Are The Benefits of Instructing A Debt Collection Agency?

There are many benefits of instructing a debt collection agency over the above methods.

At UK Debt Collectors, we will only recommend the best debt collection agencies.

Below is a few of the many benefits of instructing a debt collection agency.

Affordability: High Recovery Rates and Low Commission Rates

As mentioned above, there are no guarantees of a successful recovery when you do this yourself.

When you use a professional debt collection agency, you are guaranteed a successful recovery of your money.

Our partners operate the industry’s highest recovery rate of up to 90% on all undisputed debts. They also have the lowest commission rates from as little as 6%.

Most work off a “No Collection = No Collection Costs To Pay” policy, ensuring you only pay should you get your money recovered.

This means that one of the benefits of instructing a debt collection agency is how affordable they are.

Trustworthy: Relationships With Your Customers Are Not Jeopardised

In the past, we have experienced many clients that have shown distress when thinking about the recovery of a debt.

This is due to the perception that if you instigate debt recovery upon a debtor that they will stop working with you – this is not the case.

Debt collection is a natural way of recovering money and a collections agency will do so in a professional way.

Polite communications will ensure business relationships are not jeopardised. This will allow for future working opportunities.

They Are Industry Experts

It is important to remember that debt collection agencies are experts in collecting money for their clients

Our partners have over 15+ years of experience collecting debts across a large number of sectors.

This has allowed them to build a dedicated portfolio of high calibre clients across the years.

All agencies will have experienced all types of debt collection scenarios.

instructing a debt collection agency

The Benefits of Instructing A Debt Collection Agency – Who To Choose

Now that you know some of the benefits of instructing a debt collection agency, it is time to contact the professionals.

Our experts have put together a list of the recommended agencies for all debt collection requirements.

For Commercial Debt Collection requirements, Federal Management is our number 1 choice.

For Private and International Debt Collection requirements, we recommend Frontline Collections.

There is a plethora of reasons why you should visit the above for debt collection, including:

  • On average 90% recovery rate on all undisputed debts.
  • Local, National and International coverage.
  • Proactive, pragmatic and professional service.
  • Extremely affordable.
  • Strategically located collections offices to ensure a truly nationwide service.
  • Only company in the UK to be regulated by the Financial Conduct Authority (FCA).

Low Value Debt Collection – Legal and Trade

Before you contact any of the above, it is important to know of Legal and Trade.

This website is for those that may have a debt that falls into an agency ‘minimum debt value’.

This means that your debt may cost more to recover than it is worth and will mean some cannot recover it.

Visiting Legal and Trade will ensure that your debt can be recovered no matter the value.

The Benefits of Instructing a Debt Collection Agency

Got Any Questions? Get In Touch Now

Our team of Debt Collection Experts are happy to help with your enquiries.

Leave a Comment