Why should I use Adams, Evens, & Ross for staffing debt collection?

Adams, Evens, & Ross (AER) has over 33 years of experience collecting past-due debts exclusively for the staffing and recruiting industry. We have served more than 4,000 staffing and recruiting firms, placing over $1 billion in debt. Our industry specialization means we understand the unique challenges staffing firms face when clients don't pay. We also maintain the industry's most comprehensive credit alert — a database that tells you which companies are currently in debt before you place workers with them.

What is your fee structure for collecting staffing debt?

AER operates on a strict 'No Collection, No Charge' policy. You only pay a fee if we successfully collect the debt. If we do not collect, you owe us nothing. Our fee is a percentage of the amount collected. For specific fee details, you can review our fee agreement or book a free consultation.

Can AER reduce their collection fee?

Our fees are structured based on the age and complexity of the debt. In some circumstances fees may be discussed during your consultation. We encourage you to book a free 30-minute call with our team to discuss your specific situation.

Will collecting a staffing debt show up on my client's personal credit report?

AER specializes in commercial (business-to-business) debt collection for the staffing industry. Collection activity is typically reported against the business entity rather than the personal credit of an individual. For details specific to your situation, consult with our team during a free consultation.

Who can Adams, Evens, & Ross help with debt collection?

AER works exclusively with staffing agencies, recruiting firms, payroll funding companies, and staffing industry associations that are owed unpaid placement fees or staffing invoices by client companies. We are not a general collection agency — our expertise is entirely within the staffing and recruiting industry.

How will I be kept updated on my collection account?

AER provides regular updates on the status of your accounts. Once you place an account with us, you will receive communication on collection activity and any payments received. You can also reach out to our team directly with questions at any time.

Can I tell others that a client has not paid me?

There are legal guidelines around disclosing that a client owes you money. AER can advise you on how to handle this appropriately. Our credit alert service allows us to notify other staffing firms within our network that a particular company has an outstanding debt, which helps protect the broader industry.

What if I don't have a signed contract with the client who owes me money?

Not having a signed contract does not necessarily prevent collection. AER has experience recovering staffing debts in situations where formal contracts are missing. We evaluate each case individually and can advise you on your options during a free consultation.

What should I do if I receive a letter from the debtor's attorney?

If you receive a letter from the debtor's attorney after placing the account with AER, forward it to us immediately. Do not respond directly to the debtor's attorney. AER will handle all legal correspondence on your behalf through our nationwide network of attorneys.

What happens if the debtor mailed a check before I placed the account?

If a check was already in the mail when you placed the account with AER, notify us right away. You will need to deposit the check and inform AER of the payment. Depending on the timing and what was agreed, this may affect the account status. Our team will guide you through the next steps.

Can I close a collection account after it has been placed with AER?

Yes, you can request to close an account that has been placed with AER. However, depending on the work already completed, there may be considerations to discuss. Contact your AER representative to review the status of the account before making that decision.

What should I do if the debtor contacts me directly?

Once you have placed an account with AER, refer any direct contact from the debtor back to us. Do not negotiate or accept payment directly without first notifying AER. Direct communication from debtors after placement should be handled through our team to protect the integrity of the collection process.

I received a check from the debtor — what do I do?

If you receive a check directly from the debtor after placing the account with AER, deposit the check and immediately notify your AER representative with the amount and date received. AER will then calculate the appropriate fee based on the amount collected.

When do I get paid after AER receives a payment from the debtor?

Once AER receives and clears a payment from the debtor, your portion of the collected amount is remitted to you promptly. The exact timeline is outlined in the fee agreement. AER works to ensure you receive your payment as quickly as possible after funds are confirmed.

How do I get started with Adams, Evens, & Ross?

Getting started with AER is simple. You can book a free 30-minute consultation with Wilson Cole at https://www.staffingdebt.com/aer-consult/ or go directly to https://www.staffingdebt.com/aer-information/ to place an account. AER will walk you through the fee agreement and next steps from there.

Best Practices For Staffing Debt Collections And Recovery

By Leah Funk | May 20, 2024

Page Content

Best Practices For Staffing Debt Collections

Effective debt collections and recovery practices are necessary for maintaining cash flow and ensuring long-term customer relationships. However, the process can be intricate, requiring a balanced approach that respects the debtor's situation while safeguarding the creditor's interests.

This article explores the best debt collection and recovery practices, offering insights to staffing firms looking to navigate these waters efficiently and effectively.

Best Practices in Debt Collections and Recovery

Know the Legal Framework

Different jurisdictions have different laws governing debt collection practices. Familiarize yourself with the Fair Debt Collection Practices Act (FDCPA) in the United States or equivalent regulations in your country. These laws are designed to protect consumers from abusive collection practices and provide a guideline for what is considered acceptable behavior by debt collectors.

Effective Communication is Key

The way you communicate with debtors can significantly affect the outcome. Start with a polite and understanding approach, recognizing that many people are going through difficult times. Clear, concise, and professional communication can help maintain a positive relationship and increase the likelihood of collecting the owed amount.

Use Technology Wisely

Leveraging technology can streamline the debt collection process. Automated reminders, emails, and SMS can effectively remind debtors of their obligations without seeming intrusive. Additionally, customer relationship management (CRM) software can help keep track of communication and payment plans.

Offer Flexible Payment Solutions

Understand that individuals facing financial difficulties might be unable to settle their debts in a single payment. Offering flexible payment plans can make it easier for them to start paying off their debts, improving your chances of recovering the owed amount. Being open to negotiation and finding a mutually-beneficial solution is essential.

Train Your Team Appropriately

Ensure that your collections team is well-trained in both the legal aspects of debt collection and customer service skills. They should be able to handle difficult conversations with empathy and professionalism, always respecting the debtor's situation.

Prioritize Data Security

When dealing with personal and financial information, it's crucial to prioritize data security. Ensure your systems are secure and compliant with regulations like the General Data Protection Regulation (GDPR) in Europe or similar privacy laws in other regions.

Document Everything

Keep detailed records of all communications and transactions. This documentation can be invaluable in disputes and help analyze the effectiveness of different collection strategies.

Understand When to Escalate

While many debts can be recovered through direct communication and negotiation, some may require escalation. Knowing when to involve a debt collection agency or pursue legal action for effective debt recovery. However, this should be considered a last resort, as it can significantly affect customer relationships.

Ethical Practices Lead to Better Outcomes

Always treat debtors with respect and dignity. Unethical collection practices can damage your reputation and lead to legal consequences. Empathy and understanding can go a long way in building trust and encouraging debtors to fulfill their obligations.

Continuous Improvement

The financial landscape is always changing, and so are the best practices for debt collection and recovery. Review your strategies and processes regularly, and be open to adopting new methods or technologies to improve your success rates.

Conclusion

Debt collection and recovery are complex processes that require a careful balance of legal knowledge, communication skills, and empathy. By adhering to best practices, businesses can improve their collection rates while maintaining positive customer relationships.

Remember, successful debt recovery is not just about getting paid; it's about finding solutions that work for both parties, safeguarding your business's financial health, and preserving valuable customer relationships for the future.

Implementing these strategies with diligence and care can transform the challenging debt collection process into an opportunity for reinforcing trust and commitment between creditors and debtors.

Leah Funk

As the National Account Sales Manager at Adams, Evens, & Ross, I have over 28 years of experience, and specialize in providing credit and collections solutions tailored to the unique needs of staffing and recruiting firms. Also, I'm the Executive Director of the United States Staffing Association (USSA), where I lead efforts to support, educate, and advocate for professionals in the staffing and recruiting industry across the country. In this role, I work closely with industry leaders to develop initiatives that support and give back to the staffing and recruiting community.

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