Before diving into debt collections, the trucking industry & collection agencies, it is important to first examine what a transportation-based collection agency is and how it can benefit your business by recouping and collecting on lost freight shipments from bankrupt businesses, or clients that continually pay late or not at all.
What is a Transportation Based Collection Agency?
A collection agency is a company or organization that works with you to collect on delinquent payments and late or non-payments. With that said, a collection agency should never be mistaken as a debt buyer because they do not directly buy your debt.
A Debt Buying Agency will purchase your debt upfront at a low cost, and work to collect the debt as their own.
A Collection Agency will work with your business to help recover lost debts, while only taking a percentage of the fee if there is a successful recovery. Depending on the agency you work with, if a collection is a failure, you won’t have to pay out. This is particularly common with contingency based collection agencies.
Benefits of Using A Transportation Debt Collection Agency
When you put your faith in a trucking based collection agency you are not only helping to refill your company coffers by collecting on unpaid debts, but by allowing an agency to facilitate your debt collection needs, you are also helping to preserve client-customer relations, increase the odds of successful debt recovery, and less stress on your in house staff.
By contracting a debt collection agency to handle your debt collection needs, this can be beneficial as you are working with a company that has tried and proven subrogation tactics, as well as reducing the tension between two parties directly which can help if you plan to do business with that specific debtor after the fact. It is these common collection services that can help ensure that your professional reputation is not tarnished, but also that you are seeing results at the same time.
Below is a list of common debt collection services offered by AWA:
- Conducting Investigations on debtor & UCC searches
- Locate affiliated companies & individuals
- Run reports on company & debtors’ credit
- Assess which party is liable to pay the debt, whether it be debtor’s, affiliate companies, or any third party involved
- Contact delinquent party and seek voluntary resolution, if voluntary resolution is not possible, we will inform our clients and assist in any litigation matters such as recommendations in terms of action
- Collection of Payment or filing of lawsuit to collect on unpaid debts
- Report to client on final verdict if collection efforts were successful or deemed non-collectible
For more information on our collection process, please click here!
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.
If you have unpaid freight invoices and aren’t sure what to do next, call 662-892-8591 to speak with one of AWA’s client specialists today!