Summary: Digital debt collection enhances revenue by using consumer-preferred channels (SMS and email) to minimize payment friction. By adopting a customer-centric, digital-first strategy, agencies can: Double payments received Improve customer experience Stay compliant with rules like Regulation F Digital debt collection is the use of digital channels like email and SMS to communicate with customers and take payments. Digital collection …
Digital Accounts Receivable Solutions, More Revenue
Whether it’s an in-house department or a third-party agency, every team needs modern accounts receivable solutions to collect more payments and keep revenue flowing. Although traditional approaches have worked in the past, technology and changing consumer habits have forced a shift in debt collection practices. It’s time to embrace digital receivable solutions to keep your business moving forward.Digital Accounts Receivable …
Impact of Positive Language in Calls, Email, and SMS
Communicating with customers about past-due accounts stirs up negative emotions that can damage the customer relationship. Simple improvements (like using positive phrasing) have a big impact on how customers feel and act during debt collection. Prioritize positive language in calls and digital requests to create thoughtful interactions via the phone, email, and SMS. To optimize your customer interactions, focus on: …
Improve Listening Skills to Drive Better AR Recovery Rates
Improving listening skills with customers boosts retention, increases satisfaction, and reveals areas for service improvement—core goals of any listening skills training initiative. For accounts receivable teams and debt collection, active listening skills training is critical to your team’s success. You should prioritize it when hiring new staff and continue developing it through ongoing support. Strong listening skill training can determine …
Customer Engagement Strategies for AR, Debt Collection
Your debt collection agency or accounts receivable (AR) department’s top priority should be collecting as many payments as possible. But the way people communicate is different than it was even a decade ago. Modernize your AR staff and improve customer engagement tactics to keep up with customer expectations—email, SMS and online payments. Is your customer engagement strategy in line with …
Four Important Features of Payment Collection Software
Many important aspects go into choosing payment collection software for your debt collection agency. Thinking about everything you must consider can be daunting. When examining your payment collection software, start with these four areas to decide if it’s doing all it can for your agency.1. Security With the increase in data breaches in recent years, cyber security is a huge …
5 Debt Collection Call Center Script Questions Answered
Most debt collection agencies use collection call scripts but how do you know you’re getting all you can out of yours? We reached out to several experts in the industry for their advice on using call center scripts. They discussed the pros and cons of using call scripts, elements they should contain, and the important link between call scripts and …
10 Examples of Great Debt Collection Websites in 2024
In the debt collection industry, if you haven’t updated your website to meet today’s consumer expectations, you’re probably already losing revenue. A user-friendly debt collection website is a necessity if you want to stay competitive and effectively engage consumers. The Consumer Financial Protection Bureau’s (CFPBs) Regulation F attempted to clarify many aspects of compliant debt collection like text messaging and …
Skip Tracing Tools and Techniques for Collections
Between 2017-2020, PDCflow partnered with the California Association of Collectors (CAC) to share in-depth advice on running a successful, compliant debt collection agency. The subjects, ranging from day-to-day operations such as best practices for telephone communications with consumers to high-level topics like creating debt collection settlement campaigns, first appeared as the curriculum of the CAC’s Collection Boot Camp courses. Our …
Guide to Credit Card Chargebacks for Collection Agencies
Every business comes with obstacles. A high-risk operation like a debt collection agency is full of especially unique team management and compliance challenges. Along with industry-specific rules, collection agency owners and managers must also comply with Regulation E, understand PCI compliance rules, and maintain a compliance management system as a whole. While balancing these responsibilities, agencies need to keep a …
Guide to Emailing Model Validation Notices
If your debt collection agency doesn’t use email to talk to consumers, you’re never going to reach your full recovery potential. Phone calls are less effective than ever in making consumer contacts and traditional mail can be costly. Sending the model validation notice by email: Encourages more consumer engagement Is a compliant option Saves money Is faster than mail Still, …
Accounts Receivable Collections Best Practices: Handling Late Payment Excuses
Every employee will encounter late payment excuses in accounts receivable collections. Greg Ruffino, a successful coach and trainer in the accounts receivable industry, is well-versed in the difficulties a consumer’s payment stalls and objections can cause. Ruffino shared his knowledge on the subject, including common excuses for late payments consumers give and effective debt collection techniques to overcome them.Payment Excuses …
