#thirdpartycollection #thirdpartydebtcollection
The original creditor has determined that an account is uncollectible if it has been charged off or written off as bad debt. On a contingency-fee basis, the creditor will transfer the account to a third-party agency. Fees vary based on the agency and the terms of the creditor's agreement.
The original creditor gains from third-party collections in the following ways:
Unless the organization is able to collect, no fees are needed.
The capacity to concentrate on other duties while collecting the debt
The use of technology for collecting debts that the original creditor might not have access to
Professional collections representatives' competence and effectiveness
Increased likelihood of recovering uncollectible debt
https://www.vitalsolutions.net..../services/third-part
