Debt collection procedures manual

In the case of a conflict between state and federal law, federal law prevails. Those who extend credit to others should be aware of the legal rules about how to collect money that is past due, particularly as those rules apply to bankruptcy. Special federal laws are in place for debtors who file for consumer protection under bankruptcy law. How collections are handled vary from company to company, but there is a set of hard and fast rules that are typically dictated by the FDCPA, as noted above.

Debts covered under that act include personal, family, household, credit card, auto loan, medical, and mortgage debts. They do not include business debts which are handled differently , and also do not typically cover debts incurred by the non-payment of student loans, spousal support, child support, or personal income or property taxes.

Certain types of federal benefits typically cannot be garnished in collections, but they can be in the case of the latter items that do not pertain to business losses. One way to avoid this is to reward your sales staff once the money has been collected not when the sale is made. You should have financial policies and procedures manual which every staff member goes through as part of their induction.

We hope this has helped you with your cash flow needs. If you have any further questions you can contact us on We have expert debt collection managers to handle each step of your case. When it comes debt collection sometimes you need the help of the experts.

You can trust 23 years in experience, and a commitment to expert and professional debt collection. ProfColl understands that when it comes to debt, things can get tricky. Make sure your business is in safe hands with ProfColl.

At ProfColl, we adhere to all the correct protocol and uphold a professional manner when working to collect your debt. Call: Email: info profcoll. Home A simple debt recovery process for small business. Latest News. The most effective approaches to making claims against domestic and international bankruptcies are also presented. In all cases, Atradius Collections provide a complete service and support to our clients.

From dunning letters and amicable settlement to formal litigation, our debt collection services and experts support your business across all time zones, currencies, jurisdictions and languages. International Debt Collections Handbook A key tool for businesses to approach debt collections abroad. Scroll to next section. Simply fill in the form below to download your copy Download your handbook in a matter of seconds.

It does this by adding a number of rules to contracts between businesses. It is important to realise that this legislation only applies to commercial debts. It does not apply when one of the parties is not acting as a business; for example, sales to a private individual or consumer.

The debts should have arisen in the course of business. Both parties should be businesses, commercial entities or public sector organisations.