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Collecting Past due Accounts - Getting Ceased

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Another law aimed at collection agencies operators, which private sector collectors should also follow, involves getting "ceased" at work. A "cease," in this case, means to stop communication with the debtor.

The Fair Debt Collection Practices Act states that you can call a debtor at work until the debtor tells you he doesn't want to be called there any more. Therefore, until the debtor Forbids you to call him at his place of employment you are free to do so. This is a very powerful tactic that will bring plenty of attention so don't shy away from making calls to the debtor's workplace.

When the debtor gets pulled away from his duties he expects the call to be urgent. Give him what he expects. Make the bill a problem because you have an audit with the client coming up in the afternoon or tomorrow morning. The client is expecting a check for the balance in full and the situation has you in a spot. What to do?

If the debtor complains about being called on the job, bring up the possibility of judgment and wage garnishment. It's vital that you maintain the feeling of urgency right on through to the end of the call. Keep things moving at a fever pitch that ends with a commitment to pay the balance in full.

You should use the fact that the debtor is on uneven ground when you call him at work. He is surprised, unsettled and embarrassed. For a moment he's seeing things as they really are, not as he'd like them to be or pretends they are. When he has to talk to you from work he is far more likely to give you lame excuses. He'll probably be more straightforward. You couldn't ask for a better situation. Remember, though, that if the debtor tells you not to call him at work anymore you must abide by his wish. That does not mean the conversation has to end right there. Hurry through the rest of the call. The feeling of tension this creates will sometimes be enough to get a commitment from the debtor.

Good luck!

(End)

Jim Finucan knows all about the dances, dodges and delays debtors will try to pull. Let Jim show you how to double or even triple the money you collect from your accounts receivable. Check out his unique collections manual "Past Due." For more information visit: www.tiare.com/pastdue.htm

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