Direct Recovery Associates is a California corporation specializing in commercial and consumer debt collection services throughout the U.S. and internationally.

How to collect

International
To increase your chances of collecting your money, you must act quickly. However, the first question is how can you quickly identify a troubled account?

By offering debt collection services for the past two decades, we have extensive experience with troubled accounts. Some of the initial warning signs include: continued requests for documentation, avoidance, reduced orders, complaining about slow business, change in name and contact information, lies, disputes, and vague promises or commitments.

As a specialist in business debt collection services, our experience is that any one of the above warning signs should trigger action. The next question is, after you identify a problem, what action should you take?

First, you need an effective credit policy. Part of that policy should include a set debt collection services program that starts with a systematic phone calling campaign. In these phone conversations you hope to reason with your debtor. The biggest mistake is waiting too long in between billing and phone calls and following up. Just so you know, the probability of collecting on a delinquent account drops dramatically each month following the due date, from 81 percent after two months to 52 percent after six months, according to the Commercial Collection Agency Association. They say that if an invoice remains outstanding for 12 months, the chance of collection drops to less than 25 percent.

If the debtor is planning on not paying you, they will be reluctant to give you specific information in those phone conversations. Get detailed responses from the debtor and/or written confirmations of payment. If they refuse to give details or they lie to you, you know you have a problem and you should accelerate the process by placing it immediately with a commercial debt collection services company.

If the debtor fails to respond quickly, you need to engage a debt collection service. Of course, you will need to find reputable company that offers commercial debt collection services. These debt collection service professionals are trained specifically to collect from recalcitrant debtors, who otherwise wouldn’t pay voluntarily.

The best defense against troubled accounts is to have a sound credit policy, acting quickly to try and collect on your own, and then aggressively via debt collection services.