Are Your Collection Calls Yielding Results?
According to a recent report from CNBC, debt delinquencies are on the rise in the United States. With trillions of dollars of commercial debt and consumer debt outstanding, this has major implications. For businesses seeking to collect on outstanding financial obligations, a well-crafted collection strategy is a must. Are you making collection calls to collect? Are those calls yielding results? In this article, our Los Angeles debt collection attorney highlights some actionable strategies that you can use to improve the effectiveness of your debt collection calls.
Quality Over Quantity is a Strong Debt Collection Principle
With debt collection phone calls, the principle of quality of quantity is useful. Instead of bombarding debtors with multiple calls, it is better to focus on having a few well-prepared and well-structured conversations. It is an approach that shows the debtor that you are serious about collecting the debt and are willing to work towards finding a solution. If your calls are simply ignored, another approach may be required.
Take an “Information Gathering” Approach
During your collection calls, adopt an information-gathering mindset. Ask open-ended questions and listen carefully to the debtor’s answers to gain a better understanding of their financial situation. The more information that you have, the better position you will be in to collect on a commercial debt or a consumer debt in California.
Customize Your Collection Call Messaging
Debtors are more likely to respond positively to personalized communication. Customize your collection call messaging by addressing the debtor by name, referencing their specific debt, and outlining possible consequences for non-payment. By demonstrating that you have a detailed understanding of their situation, your calls will yield better results in the long run.
Try to Get Commitments Whenever Possible
When discussing repayment options, aim to get a commitment from the debtor. Commitments can come in many different forms—from an acknowledgment of the validity of the debt to a specific date for payment to the terms of a payment plan to a partial payment to an agreement to speak again at a later time. Firm commitments can help ensure that the debtor takes responsibility for their debt and works towards resolving it.
Rely On a Professional Debt Collection Attorney
Debt collection is complicated. It can be a time-consuming, even frustrating process—especially if you have other business obligations that require your attention. You do not have to navigate the process alone. An experienced Los Angeles debt collection attorney can help you develop a comprehensive strategy that yields better results. Remember, phone calls are just one aspect of a well-rounded debt collection strategy.
Get Help From Our Southern California Collection Lawyer Today
At the Law Offices of Andrew Ritholz, our California debt collection attorney is a solutions-forward advocate for clients. We know how to employ collection strategies that get results. Give us a call now or connect with us online to set up a fully confidential initial appointment. From our legal offices in Monrovia and Pasadena, we provide debt collection services in Los Angeles County and throughout Southern California.