I'm always looking for ways to cut costs. Do collection agencies give discounts?
Yes, most collection agencies do offer a discount if your company assigns them multiple accounts or the balance is very high or the account is new.
Generally, there are three rules to follow to determine what rate your company will be charged:
Balance due. If you have a past due account totaling $5,000 or more, your company might be able to get a discounted rate.
Age of account. An account that is 60 days past due has a better chance of being collected than a 730 day old file. A Collection agency that get paid based on how much they collect will not have enough incentive to work on older past-due accounts, much less offer you a reduced rate on them.
Volume discounts. If you have multiple accounts to collect, you should be able to secure a discounted rate. For example, if your company has 25 delinquent accounts for $25,000 that are less than a year old, it should get 30% to 35% off regular price, unless you entered into a different kind of arrangement. - 15224
Yes, most collection agencies do offer a discount if your company assigns them multiple accounts or the balance is very high or the account is new.
Generally, there are three rules to follow to determine what rate your company will be charged:
Balance due. If you have a past due account totaling $5,000 or more, your company might be able to get a discounted rate.
Age of account. An account that is 60 days past due has a better chance of being collected than a 730 day old file. A Collection agency that get paid based on how much they collect will not have enough incentive to work on older past-due accounts, much less offer you a reduced rate on them.
Volume discounts. If you have multiple accounts to collect, you should be able to secure a discounted rate. For example, if your company has 25 delinquent accounts for $25,000 that are less than a year old, it should get 30% to 35% off regular price, unless you entered into a different kind of arrangement. - 15224
About the Author:
A Collection Agency that I know will treat you good and give you a discounted rate is Rapid Recovery Collection Company
