Nowadays, many business transactions are carried out in million bucks between the vendor and the buyer. So, in this scenario, another problem which may occur is of bad debts as most of the times, few companies are not in a position to pay their money on time or wants time to clear off the debts. For solving this problem, the professional help from the lawyers like Anthony Coluzzi proves fruitful.
Dealing with debt-collection in a professional way
The foremost thing while going for collection of debts is to abide by the rules and regulations set forth by the regulatory bodies which the lawyer or any professional agency has to follow. The rules are actually put forth by Fair Debt Collection Practices Act, the Consumer Financial Protection Bureau and Federal Trade Commission which safeguards the rights of each party. In this scenario, Anthony Coluzzi who is a lawyer by profession and looks into these kind of matters, suggests that one should keep in mind the following key points before heading for debt-collection:
- It is seen that collection of debts is not an easy task as it is one the delicate matters in which one wrong step may land you in a problem. So, it is advisable to take the services of a professional who can guide you in a better way regarding the debt collection and the rules one has to abide by.
- The company may not be in a position to hire a separate staff for collection of bad debts from the debtors sometimes. In this event, they can take the help of an attorney or a debt-collection agency who are experienced in this line. They actually carry out the work in a professional manner and in compliance with the law which is mandatory.
- The debt may be small or big and it can be old or new but it should not be collected following the illegal ways. For that, the professionals who are hired should follow the compassionate ways for collecting the debts as it is necessary for the reputation of the company.
- Even the agency or the professional hired by the company should be well-versed with the legal ways and should have an understanding of the whole matter in a detailed way which will not affect the relation between the debtor and creditor too.
Dealing with delinquent debtors
According to Anthony Coluzzi, it is not an easy task to collect the bad debts since many debtors may not entertain you in a socialized way. Some may even run to other towns and it will result in loss to the company. For that, the professionals should focus on:
- Legal ways
- Compassionate dealing
- Providing lucrative financial options to debtors to pay off debts within time
- A gentle reminder through an E-mail or telephone
Lastly, it can be seen that if the company wants to turn their bad debts into cash flow than they should opt for professionalized services.
