Collections Agency?

Discussion in 'Business Operations' started by theturfboss, May 4, 2007.

  1. theturfboss

    theturfboss LawnSite Member
    from Indiana
    Messages: 47

    Have any of you ever turned a client over to collections? I am not talking about Gino downtown... but a true collections agency. How can you ensure that the collection shows up on the clients credit report. In my opinion, if it does not show up on their credit report, its just a threat. What "evidence" do you need and who do you contact to begin collections? What is the fee for such a service?
  2. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    I use, I believe their Web site and its subsections would answer your questions better than I can.

    The only bit that bothers me is, I have no way of knowing if it truly went on their credit record, but judging from the amount of folks who try to stiff me today vs. a few years ago, I dare say with a fair certainty something is going on.

    At first I had to send a few, seemed like every time I got through with one there came another, last year I started using olddebts and I think I sent 3 of them there (maybe it was 4, I don't recall), and like I said, every month or three, almost as SOON as I got through processing one there came another...

    I think some folks think it's a bluff, you know, what a lawn guy can put this on my credit record? Yeah right, so consistency is key, have a system in place where 'this is what I do when someone owes' and always follow through, because after the 3rd or 4th one, I haven't had a non-pay since around October (and knock on wood), so at least thus far, things have improved.

    I still have slow pays, some still play games but I interrupt services quick, too, and then it costs more when it gets super tall, and so on... It does work but it takes some time, just have to have those safety nets in place. In the end, some customers WILL slow pay about every time, the service gets interrupted and I send this and that letter and they finally pay and ask if I can come out again and then it costs extra because it's been 1-2 months since it got cut last, but if that's how they want to do it, my system works like that if they want.

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