Traditionally, collection agencies working both consumer and commercial debt have asked for and received a significant percentage of the revenue they recover. One of the many questions involved in using a third party agency is, what are their capabilities beyond collections? There has been a steady rise in early-out solutions offered by ARM industry leaders and second tier players.
By leveraging an automated series of customer contacts more frequently and following that up with a collection agency courtesy notice, then escalating with additional agency written demands, you receive the benefit of third party impact. This is where human psychology does not change. When your customer does not want to talk to ‘the collection agency’ the path of least resistance is back to you the creditor, where you can welcome them with open arms. This opens up the lines of communication again to where you save your customer and marketing dollars. Optimizing your high value resources to time spent working out and resolving issues with clients is another benefit of Co-Sourcing.