There are those that can argue both sides of this ongoing argument. However, probably the most effective approach is a proper blending of creditor’s rights attorneys and nonlawyers (or at least those like me who possess a legal license but does not always act in my legal capacity on a day-to-day basis). Allow me to explain.
Most lawyers don’t have the time or inclination to handle the routine and mundane reporting that’s necessary in collections. They also lack the available time for communications necessary…whether it be a detailed response to a client’s inquiry or listening to a debtor’s life story before getting down to the task at hand. As a result this can be more effective for the client.
Many attorneys get caught up in the necessities of legal procedures when communicating with debtors when many times the most effective means of collecting is just to call the debtor and have a personable conversation ending with “let’s just get this matter put to bed so you can worry about the more important things in your life…” Take the time to listen to the individual or entity, have a little empathy and sympathy. At the end of the conversation you have someone willing to attempt to resolve the debt as opposed to acting out of the fear of “being sued.”
Using collection agencies as opposed to law firms that do collections is a definite bonus as far a client’s are concerned. Typically, lawyers and even non-lawyers in law firms charge hourly rates and/or a much higher percentage than do collection agencies. In addition a client saves with an agency in the respect that an attorney will throw out suit requirements for a claim without really taking the time to do the preliminary checking to see if the judgment is really collectible. With the law firm the client ends up paying a the original costs of the claim plus suit fees and court costs. A good collection agency on the other hand will have that information to supply to a client so that they may make an informed decision as to whether or not they are “throwing good money after bad.”
Collection agencies also have a much faster response time. Many clients appreciate the fact that I can take their calls right away. I’m not in court or too busy preparing court documentation and have the time to take their calls. We are just much more responsive than attorneys…with the client knowing that their claims and inquires are being addressed immediately. Approved accessibility, especially in today’s business environment, is a key factor.
Collectivity is unique and offers their clients the best of both worlds. While I am a licensed member of the Florida Bar and can give legal advice to our clients, my primary function is to collect their money without the necessity of litigation. I am available to handle all calls and questions from our clients addressing their concerns and needs…many times right from their first initial contact. However, I am also well aware of the necessity to have access to creditor’s rights attorneys and firms when both the claim and the client deem legal action necessary. Possessing a degree in Psychology also provides me with the necessary tools to associate directly with many of the debtors in a unique approach that results in “Collectivity” of our client’s claims.