Many factors go into keeping a government agency’s budget balanced, and there are many potential events that could put a budget out of balance. Despite the best effort of state and municipal budget officers, unforeseen and oftentimes external events such as severe weather and disasters, commodity prices, and federal policy changes can place unwelcome stress on government coffers. One valuable tool government entities can use to help alleviate this stress is contracting with a third-party collection agency. Despite the value that collection agencies can provide in helping to balance municipal budgets, many governments remain reluctant to partner with an agency, often due to some common collection agency myths and misconceptions.
The view that many people have of the collection industry is outdated. Gone are the days of middle-of-the-night phone calls and other harassing tactics. The Fair Debt Collection Practices Act provides legal protection to consumers, and any reputable collection agency takes compliance with the Act very seriously. On a related note, it is a common myth that there will be a public perception problem if a government agency partners with a collection agency. In reality, collection agencies these days place a strong emphasis on an ethical and consumer-friendly approach to collecting debts.
Another myth about collection agencies is that their industry is an unsophisticated one. Actually, a respected agency like IC System employs advanced techniques such as analytics and machine learning to effectively recover unpaid bills. Additionally, our staff is highly trained and specialized. Finally, we operate within an extremely secure technological environment, with our computer networks subjected to numerous security audits.
Interested in finding out more? Download this eBook to learn more about working with a collection agency.
About the Author: Ben Fisher
Ben Fisher has been with IC System, one of the largest receivables management companies in the United States, since 2013. He has honed his extensive industry knowledge through his varied roles for the company within departments such as operations, client service, and marketing.