Putting people in the industry into collections?
 

What is your opinion on putting people in the industry who don't pay their bills into collections?

Very few seem to do it.

Your thoughts?

Most small webmasters that cant afford their bills and that are bad payers in this industry have very bad credit, they don't really give a damn about collection

Thats a good point.

It isn't just small webmasters that have problems with their bills...

The problem I see with it would be the different locations involved and laws. For example, you might win a judgement in - one state with no way to collect if the person is from another state - type thing.

If it was a big enough sum though, it sure would be worth a try imho.

I spent over 11 years working at law firms & financial institutions doing collections.. Unless you have written & signed contracts stating that an unpaid debt will go into collections if unpaid, you can not place it into collections.

A debtor needs to be notified in writing that you intend to default them & place their account into collections prior to you doing so.

Once the account is placed into collections, the attorney or debt collector will send demand for payment & advise the debtor that if they fail to dispute the debt or pay it, that it will be placed on their credit report as a debt in collections, which will bring their credit score down.

If the debtor is a business, the debt will be reported to Dunn & Bradstreet whom maintains credit reports on businesses although a business debt can be placed on both business & personal reports.

It isn't just small webmasters that have problems with their bills...

hire a collection agent rather than putting them in collections.

I got my 10k back from mike hood becuase I hired a collections guy that did a great job.

I can refer anyone who has collection problems for a small fee ;)

Not entirely true...espically with business deals.

the problem i have had is a certain company fucking with your livleyhood when they in fact were the ones with the accounting problem. you gotta hate it when that happens.

My brother is part owner of one of the biggest debt purchasing companies in the midwest....Shit is different with Consumers and business deals. Consumers have laws that protect them from certain things collectors can and cant do. Laws are different from state to state. Time barred debts and shit like that. All stats are different from oral agreements to written contracts to promissary notes to open accounts.(time from last date of pay to which you can file suit, or report on a credit report) AGAIN for consumers... Business deals are different. Usually with businesses, one company is providing a service to another...Businesses have a little more pull when it comes to securing the money lost. Most small businesses and advertising companies I work with do their own collections....its always a topic that gets brought up. You dont have to send letters and be all nice and polite like the law forces bill collectors to be these days when it comes to business stuff...most small businesses dont even have a d&b report. Just sue em if you want, but that shit gets expensive cause most lawyers are turds.

I disagree. Worked as a collection agent for 5+ years.

Public Law 95-109 Fair Debt Collections Practices Act
Federal Law
You don't need a signed contract that say anything about collections to place a debt with a collection agency. You'll need some kind of proof to get a judgement, but that doesn't even have to be a contract.

Toby from Raleigh, NC has had a judgment against him for over a year and still hasn't paid. He can't pay 900 dollars plus all the court fees. LOL

I’m in the final stages of trying to collect the money.

You can't get blood from a stone.

People use to tell me, you can't get blood from a turnip. My response was always the same. A salad didn't run up this debt, you did, so let's leave the veggies out of it. :1orglaugh :1orglaugh

Oh man, I crack me up.

Very true :1orglaugh

PS Toby I love you hehe

In that same article it also describes those laws only apply for consumers who default on lines of credit for personal, family or household use...:thumbsup(credit cards, cars, insurance, etc)...when someone fucks you over on business...its a whole different ball game...you dont NEED a contract, but if youre not using contracts, youre just dumb:mad:, its not good biz sense at all.

lol... my fee may rival yours...