When choosing credit collection services that are ideal for your own billing collection program, you will have to keep two major points in mind. First, and most apparent, look for reputable and experienced credit collection companies, not general industry debt collectors. This is clearly not revolutionary advice; the mistake many doctors make is just stopping here believing should they have a credit collection service this is adequate. In order to increase the repayments on the past due accounts, as well as maintain a good doctor-patient relationship, you should take an additional step.
The second, and key, element to take into consideration is the fact that credit collection services understand and have collected to your specialty. It may take a bit additional time to locate a seasoned agency, nevertheless the results is going to be well worth the cost, and perhaps even impact your patient’s health.
Consider, as an example, should your specialty is psychology. Many psych patients are dealing with issues that impact their emotional well being, some towards the extent in which the added stress of collections may be detrimental with their health. A general industry collections agent probably lacks experience dealing both firmly but sensitively with psych patients; using hardball collections tactics could have serious consequences on a patient whom, for instance, you just kept from committing suicide some time ago. A collections agent that has expertise in this field does, however, and definately will not merely work to collect past due bills, and can do this in a manner that is sensitive to the circumstance in the patient.
Similarly, a collections agency that specializes in chasing down deadbeat Dads who don’t pay their children support are most likely not really a good match for dealing sensitively together with your patient that is coping with heart surgery. Choosing credit collection services with specific experience in your field will both maximize results and benefit your patients.
Be suspicious of Flat Fee Collections. Whilst the flat fee collections approach is usually cheaper initially, you have to wonder how motivated the credit collection agencies will be to collect your hard earned money if they have already been paid theirs upfront. Most collection agencies work on a percentage basis and never get compensated unless you get compensated, until you have selected an “early out ” program. (“Early Out” identifies outsourcing your unpaid claims at an earlier time compared to the more familiar AR Recovery Program, which is usually after 120 days.)
Other Considerations: Be Certain They May Be Licensed. If the credit collection services usually are not licensed, you are liable should they violate any collection laws. On that note, be sure they adhere to the Fair Debt Collection Practices Act (FDCPA), which issues specific guidelines on collection practices.
Be Certain They May Be Insured and Bonded. This makes sure that in the event of a lawsuit, the company may have the financial resources to pay for any related legal fees.
Insist on a Hold Harmless Agreement. This written agreement will protect from any legal liability when the agency violates any collections laws or practices. Should you not buy this agreement in creating, you may take place liable for their collections practices because you hired those to do your collections.
Ascertain the Credit Collection Services Success Rate. Obviously, the higher the effectiveness the better, but keep in mind the percentage they charge will be higher as well.
Do they really employ Skip-Tracing? Patients who have moved rather than left a forwarding address–whether deliberately skipping town on a debt or simply not remembering to contact your workplace–can be hard to monitor down. Using a credit bad yvewzf collections service which employs this method can improve your collection rate. Following these guidelines in selecting your credit collection services can greatly increase the total amount you will collect on your own past due accounts.