Hiring a transportation collection agency frees you from the struggle of having to collect from debtors, enabling you to focus on more important factors, such as your business. Aside from this benefit, there are other reasons why hiring a transportation collection agency is better for your business.
1. Hiring a transportation collection agency offers legal protection
There are numerous laws governing the debt collection industry. If you do not follow these laws, you can land yourself in the middle of a lawsuit. Most transportation collection agencies are knowledgeable of both state and federal collection laws and will collect your debt without breaking any of the laws.
2. Efficient and faster collection
The longer it takes to collect a debt, the more difficult it will be. According to the Transportation Law League of America, the likelihood of a write-off increases more than 1% each week from the first day an account is past due. It’s ideal to receive payment for debt as fast as possible, so hiring a transportation collection agency that is skilled in their field is best for yielding fast results.
3. Helps avoid wasting resources
Contacting debtors, whether it be by phone or letter, takes both manpower and time. We all know that time is money. Spending all of your time and your employees time on trying to collect debts can end up costing you a lot of money. A transportation collection agency can save you the effort, time and money, as they will take care of contacting and collecting from all legally liable parties, while you and your employees can focus on other aspects of your business.
4. Maintain integrity
Collecting a debt can be very frustrating and it can be easy for someone to lose their cool and act out. Threatening a debtor or ruining their reputation can backfire on your own business. Transportation collection agencies will eliminate this risk as they take on the tasks of communicating with debtors, and considering they are experienced in these situations, they know how to professionally handle them without risking the reputation of your business.
5. Transportation collection agencies have resources
If a debtor cuts off all communication methods with you, like changing their phone number, stops answering their phone, not providing a forwarding address etc., you may not be able to track them down. Transportation collection agencies have access to resources, such as credit reporting tools, reports/tips of debtors who may have shut down their old operations and started a new operation, and public records databases, making it easier to track down debtors that may still be operating.
However, in the event a debtor is no longer reachable, there is, more times than not, other third parties involved, so any unpaid freight charges your business has on a debtor that went out of business or filed for bankruptcy may not be a complete loss to your company.
Debt collection is important, but it should not keep you from running your business. Hand over the responsibility to a transportation collection agency and rest assured that you are not wasting valuable resources trying to get paid.
Why Choose AWA for Your Transportation Collection Needs?
AWA operates on a contingency fee basis, meaning, if we cannot collect, you owe us nothing. If collection efforts are successful, our rates will be based on how old and how much the debt is, if there is a damage claim, and whether the debtor is in or out of business.