THIRD PARTY SELF-ADMINISTERED DEBT COLLECTION LETTERS
An effective way to improve your own in-house collection rates is by using our licensed bespoke letterheads. Your debtors will believe that WCR is now pursuing them.
The first thing that should be realised is that while the majority of your clients will pay within your specified time period, a percentage will not. At one time there was a generally held belief that 90% of a client base will pay on or before the due date, this has now changed to an average 75%, leaving 25% who will need prompting.
The best way to understand why a third party letter works better than an in-house letter, is one of perception, in other words who is writing to the debtor. The best way to understand the effect of a good third party letter you will need to travel back in time to when all telephones were supplied by BT, you as the subscriber could only pay the bill at the post office or by direct debit. Most people who weren’t paying by Direct Debit waited until they received the red bill and then they took the first on, black to the post office to pay.
Our Self-Administered Letter service offers a cost effective and legal enhancement to your current collection procedures, and has been designed to improve your current in-house recovery rates.
As part of our service we construct the text of the letters to suit each client’s specific requirements. Once the final version of the text(s) has been agreed, it is emailed to our client with the letterheads sent under separate cover. The letters are then printed by you, using the debtor’s details held within your own computer system and then, if required or preferred, sent to our office to be forwarded on to your debtor.
The introduction of a third party name creates a perception to the recipient that the collection process has been escalated. We always ensure that the text clearly states that “All payments and comments should be made directly to our client”. Occasionally however, a debtor will make the payment to us. Should this happen, we will notify you and bank the cheque, after clearance, we will remit the full amount to you with no deductions.
This service is not just one of supplying you with stationary, but also includes a complete back up service that reinforces the impression to the recipient that a third party is involved. Apart from posting the letters on to the debtors, our service also includes the forwarding to a specific person within your organisation all correspondence including “Gone Away” items received at our office.
As the letters will be generated directly off your own computer system you will not be breaching current Data Protection legislation. Neither do you need to inform us of the debtor’s details or how much they owe. As this is a Commission Free service you do not have to inform us when you have been paid or if a payment plan has been agreed.